Offshore exchange OKX has moved its U.S. compliance team to a top priority within the organization.
Now the department has priority in all its work and is strategically adjustment This follows increased regulatory scrutiny of cryptocurrency exchanges for their anti-money laundering practices. OKX’s restructuring aligns with broader industry trends of increased compliance requirements from regulators.
Amid growing concerns about the regulatory risks facing foreign exchanges, OKX recently removed USDT from its European services and teamed up with Tether to initiate an unprecedented USDT asset freeze.
The platform’s global chief compliance officer also left his position earlier today after only six months with the company. Patrick Donegan led OKX’s anti-money laundering initiatives, leading a global team of 300 employees. Donegan’s tenure at the exchange lasted from August 2023 to January 2024, according to his LinkedIn profile.
The United States is cracking down on offshore exchanges on a large scale due to concerns about money laundering. Earlier this week, the US DOJ criminally charged KuCoin and its co-founders with failing to comply with anti-money laundering regulations. The DOJ also indicted Binance last year in one of the largest criminal prosecutions in industry history, resulting in a record $4 billion settlement.