New York AG Sues KuCoin for Operating Without Registration
The Attorney General of New York, Letitia James, has initiated legal proceedings against KuCoin, a cryptocurrency exchange, as announced on March 9.
The Office of the Attorney General (OAG) alleges that KuCoin claims to be an exchange but is not registered with the U.S. Securities and Exchange Commission (SEC) or the Commodities and Futures Trading Commission (CFTC).
The state of New York aims to hold KuCoin accountable for operating without proper registration, prevent the company from operating in New York, and restrict access to its website until compliance is achieved.
The Attorney General’s office alleges that KuCoin trades various coins considered securities or commodities without registration, including Ethereum, and TerraUSD, and offers unregistered securities through its lending product, KuCoin Earn.
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The Attorney General’s office has a history of taking action against companies that lack a BitLicense from the New York Department of Financial Services, with only 33 firms currently possessing one.
Previous legal action has been taken against CoinEx, Alex Mashinsky, and Nexo.
At the beginning of 2023, cryptocurrency lender Nexo paid $45 million for settling with the OAG.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
