Today federal regulators announced a fine (PDF) of $700,000 (~£500,000) against cryptocurrency company Ripple Labs for failing to register as a money service business. Ripple Labs built a payment transfer platform that people can use to move real or virtual money, and the company maintains its own cryptocurrency, called XRP [...]
[...]
[...] FinCEN accused the company of violating the Bank Secrecy Act by failing to register as a Money Services Business while selling XRP, and failing to set up an adequate anti-money laundering program. [...]
[...]
In addition to the $700,000 fine, Ripple will have to comply with all the rules and regulations set down by FinCEN for money-transferring companies, in addition to reviewing the last three years of its transactions for suspicious activity. The company must also submit to audits of its practices every two years until 2020.
Héhé.