The U.S. Justice Department indicted KuCoin and the two founders

[NikeFit_7777]

The US Department of Justice has filed charges against cryptocurrency exchange KuCoin and its two founders.

1. Illegal transactions totalled more than $9 billion since 2017.
2. KuCoin conducted 3.2$ million worth of transactions using the Tornado Cash crypto-mixer.
3. Violation of bank secrecy laws, anti-money laundering regulations and insufficient reporting of suspicious activity.
4. Deliberately serving US customers without appropriate licences and registration as a financial service.

Source: https://www.justice.gov/usao-sdny/pr/prominent-global-cryptocurrency-exchange-kucoin-and-two-its-founders-criminally

Several sources have confirmed that KuCoin was considering ceasing operations and selling the exchange in 2023.

Analysts note that in the last 24 hours, 500$ million worth of assets have been withdrawn from KuCoin on the Ethereum network.

Source: https://twitter.com/WuBlockchain/status/1772807207123599620

[NikeFit_7777]

KuCoin saw significant outflows from ETH, USDT and other cryptocurrency tokens following the US Department of Justice indictment on 26 March.

P.S. Withdrew funds from this exchange. Such news does not end well. I think a great example with FTX. It is better to be reinsured once more than to lose.

[NikeFit_7777]

Kucoin CEO announced that the exchange will give away 10,000,000$ in crypto to users who have had longer than expected wait times in the withdrawal process over the past 2 days.

P.S. For that matter, anyone who really has a problem, feel free to reach out. It's nice to get a small reward for waiting. 

Official Source: https://twitter.com/lyu_johnny/status/1773012038660624781

[dwyane36]

Kucoin CEO announced that the exchange will give away 10,000,000$ in crypto to users who have had longer than expected wait times in the withdrawal process over the past 2 days.

P.S. For that matter, anyone who really has a problem, feel free to reach out. It's nice to get a small reward for waiting. 

Official Source: https://twitter.com/lyu_johnny/status/1773012038660624781

It seems to be just a marketing move by Kucoin in an attempt to retain an audience due to recent events. Personally, I used to like this exchange, but now I use it with some caution because the exchange has problems with the U.S. regulators, which means that the exchange can be closed at any time or its management can be changed at the request of the regulator.

[salad daging]

It seems to be just a marketing move by Kucoin in an attempt to retain an audience due to recent events. Personally, I used to like this exchange, but now I use it with some caution because the exchange has problems with the U.S. regulators, which means that the exchange can be closed at any time or its management can be changed at the request of the regulator.

As long as Kucoin globa is not based in America then their exchanges will not be shut down because the regulations will be different, I assume about this case where the US court accused some of its citizens of not complying with the rules i.e. no KYC in addition to money laundering crimes as alleged.

I was also a user of this exchange but now still the same but never keep assets on the exchange for too long unless it is just to exchange BTC to other coins.

Until now Kucoin is still operating normally.

[dwyane36]

As long as Kucoin globa is not based in America then their exchanges will not be shut down because the regulations will be different, I assume about this case where the US court accused some of its citizens of not complying with the rules i.e. no KYC in addition to money laundering crimes as alleged.

It is not clear yet what the claims of the US regulators will eventually turn out to be for the Kucoin exchange. However, it should be noted that US regulators have a strong influence all over the world, and it cannot be ruled out that the same thing that happened to CZ last year may happen to the Kucoin management.

[Sim_card]

As long as Kucoin globa is not based in America then their exchanges will not be shut down because the regulations will be different, I assume about this case where the US court accused some of its citizens of not complying with the rules i.e. no KYC in addition to money laundering crimes as alleged.

It is not clear yet what the claims of the US regulators will eventually turn out to be for the Kucoin exchange. However, it should be noted that US regulators have a strong influence all over the world, and it cannot be ruled out that the same thing that happened to CZ last year may happen to the Kucoin management.

Exactly, I thought of that too. But I don't think this will be a big problem to Kucoin as they will be able to resolve the problem and pay up the fine for the exchange to continue operation in US. If they don't continue their operation in US, it will not affect other users of Kucoin outside the US, since they are based in the US. One need to be careful with these exchanges, and not to leave funds in them, because we might wake up one morning, and the government have shut them down. I hope I can continue to enjoy the service of Kucoin overtime.

[salad daging]

As long as Kucoin globa is not based in America then their exchanges will not be shut down because the regulations will be different, I assume about this case where the US court accused some of its citizens of not complying with the rules i.e. no KYC in addition to money laundering crimes as alleged.

It is not clear yet what the claims of the US regulators will eventually turn out to be for the Kucoin exchange. However, it should be noted that US regulators have a strong influence all over the world, and it cannot be ruled out that the same thing that happened to CZ last year may happen to the Kucoin management.

The legal process will continue according to the applicable charges, but it is true that US regulators have great influence because the majority of users from the country are very large then this will have an impact on Kucoin.

I don't know if this will be the same fate as CZ who was charged with many charges including large compensation? but so far Binance is still safe as well as Kucoin, maybe it will be a different scenario we will just wait for the next news because this obviously takes a long time to investigate.

[Stompix]

As long as Kucoin globa is not based in America then their exchanges will not be shut down because the regulations will be different,

Global, I love this thing!

You know who else said his exchange was global and doesn't need a headquarters? CZ!
What happened to him?
He forgot about being global, he forgot about not being an American citizen and he came himself to the US and pleased quietly just to not have the US hunting him.
Arthur Hyaer and Bitmex being headquartered in Seychelles? Did it matter?

You can't claim you're global and then do business in a country where you have no license and lie you don't operate there but take the citizen's money!

People should start to understand that taking the side of rogue exchanges and their lies just because they are advocating crypto is what brought us FTX and Celsius and all other crashes and bankruptcies, If you want safety for your funds, if you want an exchange you can actually held liable in court we should stop with all this bs about "global" and under no jurisdiction!

[Faisal2202]

It is really sad how a reputed exchange ended up as a bad one, First, they targeted Binance, and now Kucoin, I will not say they are finding ways to ban such exchanges and to seize their funds in the end, I will just say, they are doing good and they should bring the real face of such exchanges in front of us. After that its the decision of the community to judge there case in there own way. Some will say what happened to both exchanges was not good while others will say the opposite.

I think what happened to Binance was unfortunate, but what happened to Kucoin was not, because both have different cases and considering the fine I think SEC and the US officials have a good way to implement fine on exchanges like they fined Binance more than $4 billion and fined KuCoin more than $2 billion only. As considering the fine factor I don't really think they are after these exchanges, I think they just want to make things more legal.

[Stompix]

I will just say, they are doing good and they should bring the real face of such exchanges in front of us. After that its the decision of the community to judge there case in there own way. Some will say what happened to both exchanges was not good while others will say the opposite.

And this is what most people get wrong about defending those exchanges, just because they deal with crypto it doesn't mean they are angels and are doing all this for their love of crypto, they are doing it for the money! They flee regulations because they know they are breaking the rules, and they hide in off-shore locations to avoid being held responsible, if something happens and the exchange has no presence in your country to whom are you going to complain?

When governments or authorities like SEC or FIMNA or their counterparts depending on the country in question go after the exchange everyone is throwing stones at the government, when things like FTX happen everyone is again screaming why did they leave that exchange operate?
It's time to pick a side, you want a jungle, then have a jungle but don't go after that complaining about why your entire stash is gone and you have no chance of getting it back!

[Gurujebs]

It is not clear yet what the claims of the US regulators will eventually turn out to be for the Kucoin exchange. However, it should be noted that US regulators have a strong influence all over the world, and it cannot be ruled out that the same thing that happened to CZ last year may happen to the Kucoin management.

$9B money of money laundering is enough to slam the exchange. My only fear about the exchange is that they should only find a lawyer that will represent them and not go to the state like the way CZ was apprehend and was not allow to go out of the country. I will also advice them to move out of US just like Binance did, any further trading activities on this jurisdiction will only bring them more trouble, they should give a timeline for everyone from US to withdraw their coins from the exchange.

[NikeFit_7777]

KuCoin published its latest (March 31) asset holdings statement. BTC user assets totaled 12,114, down 25.4% from last time (Feb. 29); ETH user assets totaled 112,000, down 21.91%; USDT user assets totaled 963 million, down 21.5%.

[dwyane36]

KuCoin published its latest (March 31) asset holdings statement. BTC user assets totaled 12,114, down 25.4% from last time (Feb. 29); ETH user assets totaled 112,000, down 21.91%; USDT user assets totaled 963 million, down 21.5%.

The reduction of assets in reserves of the exchange by 20-33 percent for such a short period is, to put it mildly, a very alarming signal, considering that there are only accusations from the U.S. regulators. I am even wondering what will happen to the exchange and whether it will work at all after the final decision of the court.

[MrSpasybo]

The reduction of assets in reserves of the exchange by 20-33 percent for such a short period is, to put it mildly, a very alarming signal, considering that there are only accusations from the U.S. regulators. I am even wondering what will happen to the exchange and whether it will work at all after the final decision of the court.

I used KuCoin in the past and liked their quick token listings. There were many tokens that I had to trade on KuCoin instead of Binance. However, since 2022, I have chosen Binance to make it easier to manage my portfolio.

If I were still a KuCoin user, I would also tend to withdraw my assets to a personal address or another CEX instead of accepting the risks associated with KuCoin's future. I'm afraid that in the worst case scenario, all of KuCoin's assets will be frozen and users will have to wait to be compensated like in the FTX collapse.

I hope that the KuCoin team will be able to resolve this lawsuit and that KuCoin will continue to exist to serve users. After all, KuCoin is one of the most reputable CEXs and has a daily trading volume of nearly $750M. Its collapse could have a negative impact on the bullrun, and I don't hope for that.