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CFTC hits Kraken with $1.25M in fines over alleged illegal offering

Published 09/28/2021, 05:22 PM
Updated 09/29/2021, 07:40 PM
CFTC hits Kraken with $1.25M in fines over alleged illegal offering

The United States Commodity Futures Trading Commission is ordering crypto exchange Kraken to pay more than $1 million in civil monetary penalties related to allegations the exchange is violating the Commodity Exchange Act.

In a Tuesday statement, the CFTC said U.S.-based crypto exchange Kraken — operating under the name Payward Ventures — has failed to register as a futures commission merchant and is illegally offering margined retail commodity transactions in digital assets. The order requires the exchange to pay a penalty of $1.25 million and “cease and desist from further violations of the Commodity Exchange Act,” the law under which the CFTC derives much of its enforcement power on commodities and futures trading.

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