Peken Global Limited, the parent company of crypto exchange KuCoin, agreed to pay a $500,000 civil penalty to resolve charges from the US Commodity Futures Trading Commission that it operated an unregistered offshore commodities exchange. A consent order entered by the US District Court for the Southern District of New York resolves all CFTC claims against Peken Global.
Peken agreed to the settlement without admitting or denying the CFTC’s allegations. After cooperating with the agency’s investigation, the company avoided disgorgement of profits tied to the period cited in the complaint (roughly July 2019 through June 2023).
The CFTC said the modest civil penalty reflected that KuCoin had already pleaded guilty in a parallel Department of Justice matter and agreed in January 2025 to pay a $300 million fine in connection with charges it operated an unlicensed money transmitter business.
In its March 2024 complaint, the CFTC alleged KuCoin used inadequate or “sham” know-your-customer procedures, failed sufficiently to block US-based users from accessing the platform, and did not register as a futures commission merchant or a foreign board of trade. The agency had sought broad relief, including permanent trading bans, against Peken Global and affiliated companies Mek Global Limited, PhoenixFin PTE Ltd., and Flashdot Limited.
Under the settlement, Peken Global is prohibited from allowing US residents to trade on KuCoin unless it registers with the CFTC as a foreign board of trade. Cointelegraph contacted KuCoin for comment.
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