In a joint statement, the CFTC, FinCEN and the SEC reminded those engaged in digital asset transactions to comply with anti-money laundering and countering the financing of terrorism obligations under the Bank Secrecy Act.
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The CFTC and National Futures Association ("NFA") settled separate charges against FXDirectDealer LLC ("FXDD"), resulting in total fines of over $3.7 Million. The CFTC issued an Order simultaneously filing and settling charges against FXDD, a CFTC-registered Retail Foreign Exchange Dealer and FCM in New York, for violating its supervision obligations by employing a trading system that gave FXDD pricing advantages over thousands of its retail customers. The CFTC Order requires FXDD to make full restitution of $1.8 Million to FXDD's current and former customers that were harmed by its violation
The CFTC Division of Swap Dealer and Intermediary Oversight reminded futures commission merchants and introducing brokers of their compliance requirements regarding suspicious activity reporting and economic sanctions programs.
The National Futures Association ("NFA") issued a notice regarding a January 8, 2014, letter from the CFTC requesting that all futures commission merchants ("FCMs") and introducing brokers ("IBs") make available certain information on suspicious activity report filings. The Bank Secrecy Act and its implementing regulations issued by the Financial Crimes Enforcement Network ("FinCEN") prohibit FCMs and IBs from disclosing that a Suspicious Activity Report ("SAR"), or any information regarding the SAR, was filed. The regulation provides, however, that FCMs and IBs are permitted to make SAR
A derivative exchange specializing in the trading of products based on virtual currencies settled CFTC and FinCEN charges for operating as an unregistered futures commission merchant and for Bank Secrecy Act violations.