caueconomy

Mass Stablecoin Withdrawals on Kucoin Exchange 🚨

The US Department of Justice (DOJ) announced this Tuesday (26) that it has opened an indictment against cryptocurrency exchange KuCoin. Furthermore, the accusations involve two of its founders, Chun Gan, known as “Michael”, and Ke Tang, known as “Eric”. Therefore, they are accused of operating without a license. In addition to “conspiring to violate the Bank Secrecy Law”. The indictment cites that they deliberately failed to maintain an adequate anti-money laundering (“AML”) program.” KuCoin is undergoing a mass withdrawal in stablecoin, a currency pegged to the dollar. Probably from customers in the US who fear a blocking and freezing of accounts by the US, or the broker. The exchange's reserves, in stablecoins, have decreased by more than US$100 million in the last 3 hours. The reserves above refer only to ERC-20 stablecoins, compatible with Ethereum.