Civil Plaintiff

BitGo Agrees to $94M Settlement with U.S. Treasury Over Violating Sanctions

Digital currency custodial services provider BitGo has reached a settlement with the U.S. Department of Treasury over sanctions violations. The Palo Alto, California-based firm allegedly offered its services to users in jurisdictions where the U.S. has imposed sanctions, including Cuba, Syria, and Iran.

In its press release, the Treasury said that between March 2015 and December 2019, BitGo processed 183 digital currency transactions, totaling $9,127.79. These transactions were on behalf of individuals whose IP addresses indicated they were located in sanctioned jurisdictions, according to federal authorities.

Individuals located in Iran, Syria, Crimea, Cuba, and Sudan were able to access BitGo’s hot wallet accounts and make transactions.

The Treasury said BitGo knew the individuals were located in sanctioned jurisdictions from the beginning. The firm reportedly tracks users’ IP addresses for security purposes related to logins. However, it failed to use this information to comply with the U.S. government’s sanctions.

Read the source article at CoinGeek

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