Coinbase Settles Lawsuit with New York State Financial Regulator for $100 Million

Coinbase settled a case with New York’s state financial regulator, the parties announced Wednesday, and will pay a $50 million fine and invest a further $50 million in compliance efforts. Regulators from the New York Department of Financial Services said the company had longstanding failures in its anti-money laundering program.

Coinbase shares closed up over 12% on the settlement news. The company is the only publicly traded cryptocurrency exchange in the United States. Coinbase disclosed the regulatory probe in its 2021 10-K filing with the SEC.

The latest enforcement action comes after both state and federal regulators have ramped up efforts following the November collapse of FTX, once one of the largest crypto exchanges in the world.

Read the source article at cnbc.com