COINTURK NEWSCOINTURK NEWSCOINTURK NEWS
  • Real-Time News Feed
  • Bitcoin
  • Altcoin
  • Ethereum
  • Technology News
  • Advertise
  • Contact
  • TURTURTUR
  • ESESES
Search
© 2024 COINTURK NEWS. All Rights Reserved.
Reading: UK Regulator Fines Coinbase for Violating User Agreement
Share
Languages
  • TürkçeTürkçe
  • EspañolEspañol
Font ResizerAa
COINTURK NEWSCOINTURK NEWS
Font ResizerAa
Search
  • Real-Time News Feed
  • Bitcoin
  • Altcoin
  • Ethereum
  • Technology News
  • Advertise
  • Contact
  • TURTURTUR
  • ESESES
Follow US
© 2025 BLOCKCHAIN Information Technologies. >> COINTURK NEWS
Powered by LK SOFTWARE
COINTURK NEWS > News > UK Regulator Fines Coinbase for Violating User Agreement
News

UK Regulator Fines Coinbase for Violating User Agreement

In Brief

  • UK regulator fined Coinbase's UK arm $4.5 million.

  • Coinbase allegedly onboarded high-risk customers, violating an agreement.

  • FCA's decision may lead to more scrutiny of crypto exchanges.

COINTURK NEWS
COINTURK NEWS 10 months ago
Share
SHARE

Coinbase’s UK arm was fined $4.5 million by the UK regulator for violating a voluntary agreement related to user participation. CB Payments Limited (CBPL), part of the Coinbase Group, signed a voluntary agreement in 2020 with the UK’s Financial Conduct Authority (FCA) to prevent the onboarding of customers deemed high-risk by the regulator.

Contents
Coinbase Faces Penalty ShockDetails on the Matter

Coinbase Faces Penalty Shock

CBPL allegedly onboarded 13,416 customers deemed high-risk by the FCA and provided them with cryptocurrency services, which the agreement prohibited. The UK regulator fined Coinbase Group’s CBPL company £3,503,546 for repeatedly violating the agreement.

According to Therese Chambers, joint executive director of enforcement and market oversight at the FCA, the lack of control increases potential money laundering risks, and she stated on July 25:

“CBPL had significant weaknesses in its controls, and the FCA said so, which is why the requirements were needed. However, CPBL repeatedly breached these requirements. This increased the risk of criminals using CBPL to launder criminal proceeds. We will not tolerate such laxity that jeopardizes the integrity of our markets.”

The UK regulator’s decision could mean more scrutiny for other cryptocurrency exchanges in the region and lead platforms to seek more crypto-friendly regulatory jurisdictions.

The FCA penalized Coinbase’s UK arm under the Electronic Money Regulations 2011. This penalty, particularly concerning for the crypto industry, marks the first instance of the FCA taking enforcement measures based on this law. The regulator also noted that the violations went undetected for the past two years due to the lack of initial monitoring practices related to the voluntary agreement (VREQ).

Details on the Matter

According to a statement shared by Coinbase, only 0.34% of the customers involved with CBPL were deemed high-risk by the UK regulator and were included unintentionally:

“CBPL unintentionally onboarded some customers classified as high-risk under VREQ conditions between October 30, 2020, and October 1, 2023. This led to the FCA’s investigation and subsequent action.”

The statement also noted that the investigation focused on the firm’s e-money issuing services, not crypto asset transactions:

“CBPL has been authorized by the FCA as an e-money institution since 2017 and provides e-money and payment services to customers in certain jurisdictions. As a result, CBPL is not authorized by the FCA to conduct crypto asset transactions for customers, and the FCA’s investigation did not look into any crypto asset transactions.”

You can follow our news on Telegram, Facebook, Twitter & Coinmarketcap
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.

You Might Also Like

Trump Organization Files Lawsuit Against Capital One for Account Closures

Will X Face Major Fines from the European Union?

New Mobile Game for Tower Defence Genre Lovers: Starz Defence

Join the Epic Space Adventure in Starz Defence Today!

SEC Initiates Investigation into Elon Musk’s Neuralink Before Gensler’s Term Ends

COINTURK NEWS 25 July, 2024 - 7:37 pm 25 July, 2024 - 7:37 pm
Share This Article
Facebook Twitter
Share
Previous Article Coinbase Expands Altcoin Listings for Futures Trading
Next Article Ethereum Foundation Moves Assets During Launch Week
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Stay Connected

8.1k Like
21.1k Follow
1.1k Follow

Latest News

Hidden Road Launches Innovative OTC Crypto Swap Service in the US
Ripple (XRP)
PSG Takes Strategic Financial Leap with Bitcoin
Bitcoin News
Budget Deficit Shakes U.S. Economy While Creating Market Ripples
Economy
Arbitrum Shows Potential for Impressive Gains in Coming Months
Altcoin News
//

COINTURK was launched in March 2014 by a group of technology enthusiasts who believe that Bitcoin will be as important as the internet in the world of the future thanks to the amazing technology underlying it.

CRYPTOCURRENCY LIVE PRICES

  • Bitcoin (BTC) Live Price
  • Ethereum (ETH) Live Price
  • Ripple (XRP) Live Price
  • Solana (SOL) Live Price
  • Dogecoin (DOGE) Live Price
  • Cardano (ADA) Live Price
  • Chainlink (LINK) Live Price

OUR PARTNERS

  • COINMARKETCAP
  • COINGECKO
  • BITCOINHABER
  • BH NEWS
  • 21MILYON
  • NEWSLINKER

OUR COMPANY

  • About Us
  • Cookie Policy
  • Advertising
  • Contact
COINTURK NEWSCOINTURK NEWS
Follow US
© 2025 BLOCKCHAIN Information Technologies. >> COINTURK NEWS
Powered by LK SOFTWARE
Welcome Back!

Sign in to your account

Lost your password?