The Financial Crimes Enforcement Network (FinCEN) has penalized cryptocurrency trader Eric Powers for breaking anti-money laundering (AML) laws. This is the first time when cryptotrader has been fined for money laundering by the regulator.
Over160 Bitcoin transactions worth about $5 million and about 200 transactions involving the physical transfer of more than $10,000 in currency was conducted by Powers without reporting. The crypto trader also processed several suspicious transactions, including related to the Silk Road marketplace, without filing a suspicious activity report.
“Such failures put our financial system and national security at risk and jeopardize the safety and well-being of our people, as well as undercut responsible innovation in the financial services space,” FinCEN director, Kenneth A. Blanco, said.