According to the US Treasury Department, the US-based cryptocurrency exchange Kraken has agreed to pay US$362,000 in connection with its violation of the agreement against Iran.
According to the Office of Foreign Assets Control of the Treasury Department, Kraken violated United States sanctions between October 2015 and June 2019, enabling Iranians to conduct transactions with a total value of more than $1.68 million US dollars (OFAC).
A comprehensive set of restrictions prevents the United States from providing Iran with any goods or services that include the export of technology. The Office of Foreign Assets Control (OFAC) noted that Kraken “did not correctly deploy mechanisms that detect users’ geolocations and IP addresses, blocking those from sanctioned countries.”
On addition, as a part of the compromise deal, Kraken has agreed to spend a total of US$100,000 in its sanctions compliance procedures. These controls would include both training and technological measures.
Steven Christie, Kraken’s chief global compliance officer, left the company and went to work for Binance, a competitor cryptocurrency exchange, around six months before the settlement.
Compiled by Coinbold