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FIU India fined cryptocurrency exchange Binance $2.25 million for violating laws
Binance, the world’s largest cryptocurrency exchange, has been fined by India’s Financial Intelligence Unit (FIU) for regulatory violations. The FIU imposed a $2.25 million fine on Binance for violating anti-money laundering regulations.
This fine comes after Binance registered with the FIU in May to resume operations in the country after receiving a show-cause notice from the FIU in December 2023, along with eight other offshore exchanges that violated local rules. These, in addition to Binance, included KuCoin, Huobi, Kraken, Gate.io, Bittrex, Bitstamp, MEXC Global and Bitfinex.
In January, the government ordered the URLs of these exchanges to be blocked in India and their apps were removed from the Google and Apple app stores.
Virtual digital asset service providers must register with the FIU as a “reporting entity” and are obliged to comply with the regulations of the Prevention of Money Laundering Act (PMLA), 2002.
The FIU had earlier raised its bar on KuCoin in March after imposing a fine of Rs 34.5 lakh.
Meanwhile, former Binance CEO Changpeng Zhao was sentenced to four months in prison after pleading guilty to violating US anti-money laundering laws at the world’s largest cryptocurrency exchange earlier this month. year.