Bittrex Fined $53M for Sanctions Violations

Latest Crypto News

Latest Crypto News The Treasury named several mitigating factors, but still imposed a hefty fine.

Key Takeaways

  • Bittrex has settled with the U.S. Treasury over allegations that it violated OFAC sanctions.
  • The Treasury alleges Bittrex carried out the supposed violations between 2014 and 2017.
  • While the Treasury fine is substantial, a number of mitigating factors were considered.

Bittrex has been fined a total of $53 million for sanctions violations. While the Treasury cited the relative smallness of the transactions and Bittrex’s cooperation as mitigating factors, the company is still taking a hit.

Latest Crypto News Sanctions Enforcement

Bittrex will pay $53 million in fines and penalties for violating U.S. Treasury sanctions as early as 2014.

According to an enforcement release from the Treasury, between March 28, 2014, and December 31, 2017, Bittrex facilitated crypto transactions among sanctioned entities.

“As a result of deficiencies related to Bittrex’s sanctions compliance procedures,” it states, “Bittrex failed to prevent persons apparently located in the Crimea region of Ukraine, Cuba, Iran, Sudan, and Syria from using its platform to engage in approximately $263,451,600.13 worth of virtual currency-related transactions.”

The Treasury further claimed Bittrex’s policies and procedures demonstrated at least a partial awareness of OFAC sanctions as early as August 2015. It further alleges that “based on internet protocol (“IP”) address information and physical address information… Bittrex had reason to know that these users were in jurisdictions subject to sanctions.”

The Treasury also listed several mitigating factors it had taken into consideration in the case, including the fact that it was a relatively new company at the time, that it cooperated substantially with the investigation, and that the offending transactions were relatively small amounts. Potential penalties could have been as high as $465 million if not for these mitigating factors.

Update: This article previously reported a total penalty of $30 million. It has been updated to reflect the most accurate numbers available. 


Disclosure: At the time of writing, the author of this piece owned BTC, ETH, and several other cryptocurrencies.

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

See full terms and conditions.

Treasury Sanctions Crypto Mixer Over North Korean Attacks


The Office of Foreign Assets Control said that North Korean hackers had recently used Blender to launder digital assets.  U.S. Treasury Sanctions Blender  The U.S. Treasury Department has begun clamping…

latest Crypto News Treasury Sanctions Crypto Mixer Over North Korean Attacks

U.S. Government Launches First Crypto Sanctions Evasion Case


The U.S. Department of Justice has launched its first-ever case involving the use of cryptocurrency to evade sanctions. Defendant Operated Payments Platform The U.S. government is set to bring charges…

latest Crypto News U.S. Government Launches First Crypto Sanctions Evasion Case

U.S. Treasury Clarifies Key Points on Tornado Cash Sanctions


A month after it first added Tornado Cash to its sanctions list, the Treasury Department has acknowledged that the protocol was not only used by cybercriminals. New Guidance for Law-Abiding…

latest Crypto News U.S. Treasury Clarifies Key Points on Tornado Cash Sanctions

Read More

wp reddit

You May Also Like