Austria's financial regulator has ordered KuCoin's EU exchange to halt new business after pointing to shortcomings in its AML (anti-money laundering), CTF (counter-terrorism financing) and sanctions monitoring systems, Cointelegraph reported on Sunday. The move requires KuCoin's Vienna unit to stop taking on new customers and suspend concluding existing contracts and products.
KuCoin EU said 2 executives responsible for AML and sanctions monitoring recently resigned, adding that this is common in regulated industries. Sabina Liu (사비나 리우), head of KuCoin EU, said the company had been recruiting new staff before the notice and had voluntarily suspended onboarding new clients and some transactions. She stressed the issue was limited and would not affect its long-term European strategy.
The action comes months after Austria granted KuCoin EU a MiCA (Markets in Crypto-Assets) licence. KuCoin has pursued expansion in Europe by making Vienna its European hub and appointing former London Stock Exchange executive Sabina Liu as managing director.
Chi-gyu Hwang
delight@d-today.co.kr