United States government plan to fine Russian cryptocurrency and Bitcoin exchange BTC-e as much as $110 million for flouting anti-money laundering regulations. The information from the Department of Justice comes as BTC-e, which has been down for unplanned maintenance for 2 days, stated it intends to resume operations.
Alexander Vinnik, an alleged owner of BTC-e arrested in Greece July 25 on four billion dollars money laundering charges is suspected of getting links to the Mt. Gox hack in 2013.
The Department of Justice stated:
“FinCEN assessed a $110 million civil money penalty towards BTC-e for willfully violating United States anti-cash laundering regulations. Alexander Vinnik was assessed twelve million dollars for his function in the violations.”
Even as the United States has no legal jurisdiction over BTC-e as a non-local commercial enterprise, it is nevertheless seeking a penalty for its operations covering United States territory.
Reddit post introducing the Department of Justice document stated:
“Everything else you’re reading about their involvement with this and that is the narrative to justify taking down exchanges. The above is the only issue, which means whatever. that’s what this whole aspect is actually about.”
The exchange in the meantime tweeted it may be back online within five to ten days after work on resuming its service was finished.
BTC-e published on Twitter on 26 of July:
“Update2: На данный момент ведутся работы по восстановлению работы сервиса. Примерные сроки от 5 до 10 дней. Спасибо за понимание.”