Bitcoin Exchange OKCoin Fined in Money Laundering Case

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August 15 2016

Chinese Bitcoin exchange OKCoin was recently fined for unknowingly aiding money laundering operations on its platform.  The Beijing-based company, which records the maximum daily Bitcoin volume, has been ordered by the Heilongjiang Provincial Court to cough up 627,569 Yuan (around $94,000) in damages. As per the ruling, OKCoin had flawed AML and KYC policies in pace, which prompted irregularities in its identity verification procedures. A fraudster took this loophole as an opportunity to create various Bitcoin accounts. He eventually used these finance profiles to transfer over 12 million Yuan to an unknown bank account in Macau.