United States of America: Issued NYDFS Fine against Genesis Global Trading Inc. for Violating Virtual Currency and Cybersecurity Regulations

On 12 January 2024, the New York State Department of Financial Services (DFS) imposed an USD 8 million fine against Genesis Global Trading Inc. for compliance failures that violated DFS's virtual currency and cybersecurity regulations. The DFS investigation found that Genesis Global Trading failed to meet required standards in Bank Secrecy Act/Anti-Money Laundering compliance, transaction monitoring, Suspicious Activity Report filings, Office of Foreign Assets Control screening, and cybersecurity. As part of the settlement, Genesis Global Trading will surrender its BitLicense and is in the process of ceasing operations. This action is part of DFS's ongoing efforts to hold virtual currency companies accountable.