Share this article

BitGo to Pay $93K to US Treasury to Settle 183 'Apparent' Sanctions Violations

BitGo failed to stop people in Cuba, Iran and Syria, among other sanctioned places, from using its non-custodial wallet service, the U.S. said.

Updated Sep 14, 2021, 10:50 a.m. Published Dec 30, 2020, 8:57 p.m.

Crypto custodian BitGo agreed to pay $93,830 in a settlement pact with the U.S. Treasury Department over 183 "apparent violations" of multiple sanctions programs.

STORY CONTINUES BELOW

Don't miss another story.Subscribe to the Crypto for Advisors Newsletter today. See all newsletters

By signing up, you will receive emails about CoinDesk products and you agree to our terms of use and privacy policy.

Because of deficiencies related to the company's compliance procedures, BitGo failed to prevent persons in the Crimea region of Ukraine, Cuba, Iran, Sudan and Syria from using its non-custodial wallet service, the Treasury Department said in announcing the settlement.
The maximum civil monetary penalty was $53,051,675, the department said.
Last week, it was reported that talks regarding a possible acquisition of BitGo by PayPal had fallen through.

BitGo Treasury Sanctions

Kevin Reynolds

Kevin Reynolds is editor-in-chief at CoinDesk. Prior to joining the company in mid-2020, Reynolds spent 23 years at Bloomberg, where he won two CEO awards for moving the needle for the entire company and established himself as one of the world's leading experts in real-time financial news. In addition to having done almost every job in the newsroom, Reynolds built, scaled and ran products for every asset class, including First Word, a 250-person global news/analysis service for professional clients, as well as Bloomberg's Speed Desk and the training program that all Bloomberg News hires worldwide are required to take. He also turned around several other operations, including the company's flash headlines desk and was instrumental in the turnaround of Bloomberg's BGOV unit. He shares a patent for a content management system he helped design, is a Certified Scrum Master, and a veteran of the U.S. Marine Corps. He owns bitcoin, ether, polygon and solana.