FINTRAC fine Cryptomus C$126M for AML waka
FINTRAC don put one record fine wey be C$126 million for AML compliance on top Vancouver-based crypto exchange Cryptomus, wey be the biggest crypto fine wey don happen for Canada. From July 1 to 31, 2024, Cryptomus no report over 1,000 suspicious transactions plus 1,500 big transfers, dem break ministerial directives and no follow key compliance updates. CEO Sarah Paquet talk say dem get link to child sexual exploitation content, ransomware payment, fraud, and sanctions evasion. This one show say cryptocurrency regulation dey increase, after US DOJ fine OKX US$504 million, dem confiscate C$40 million from TradeOgre, and Hungary wan put people for jail for unregistered trading. Traders suppose ready for higher compliance cost, more due diligence, and make dem dey move to fully regulated exchanges as global regulators dey increase enforcement and dey stress the importance of strong AML compliance.
Bearish
For short term, di record fine and di way FINTRAC dey enforce AML compliance tough fit make regulators see say risk high, e fit make trading for small small platforms reduce and market spirit low. But for long term, di stricter cryptocurrency regulation fit make market stable by commot non-compliant exchanges and push people go fully regulated places, wey fit reduce wahala for market movement. All in all, di tori now na bearish because compliance cost pressure dey come quick quick with more due diligence wey dem want.