$10 Million Fine Against Robinhood To Violate AML Law
Robinhood crypto company facing $10 million fine because of violation of Anti Money Laundering & Cybersecurity law.
According to recent reports, the biggest stock exchange & crypto Exchange platform Robinhood is expected to pay a fine of $10 to the NewYork Regulators because of violation of Anti Money Laundering law and not following the Cybersecurity rules perfectly.
It is also expected that the $10 million fine can exceed $15 million because in the present time investigation is going on and further investigation will be done by the NewYork Regulators in depth.
This whole incident with Robinhood is related to its crypto division.
It should be noted here, the Financial Industry Regulatory Authority (FINRA) already ordered a fine of $70 million. Because under the investigation of FINRA, it is found that they didn’t not meet their actual standards and laws which are necessary for the safety and security of users.
“certain deficiencies in our policies and procedures regarding risk assessment, lack of an adequate incident response and business continuity plan, and deficiencies in our application development security.”
The government authorities are much aware about such safety and security rules because already The United States faced cyber attack. And the attackers demanded Money through Bitcoin payment.
So lawmakers are giving priority to Cybersecurity, so that they can give a better ecosystem and infrastructure for those people who want to go with cryptocurrency use through any platform.
The current situation for Robinhood is a part of their new service, that is, IPO ( Initial public offering) in crypto but they are facing many issues to get approval. And that is why they are getting late to start their IPO service.
Related: Delay In IPO At Robinhood Platform Due to Inquiry By SEC
Robinhood company claimed, they will soon bring an IPO on their platform. Because everything is going smoothly from their side but lawmakers and regulators are investigating throughout and the new laws for better safety and security are a problem for us but we have to follow the rules to give a better ecosystem and better security to our users.
Read also: Argentina’s Worker Will Get Payment In Bitcoin
