Aux Cayes Fintech Co. Ltd, known as OKX, a Seychelles-based cryptocurrency exchange, has pleaded guilty to operating an unlicensed money transmitting business in violation of U.S. anti-money laundering laws. This announcement was made by Acting United States Attorney Matthew Podolsky for the Southern District of New York and FBI Assistant Director in Charge James E. Dennehy.
OKX agreed to pay over $504 million in penalties as part of its plea agreement, which includes criminal forfeiture of $420.3 million and a criminal fine of approximately $84.4 million. The case was overseen by U.S. District Judge Katherine Polk Failla.
Acting U.S. Attorney Matthew Podolsky stated, "For over seven years, OKX knowingly violated anti-money laundering laws and avoided implementing required policies to prevent criminals from abusing our financial system." He added that this plea underscores the consequences for financial institutions violating U.S. law while participating in its markets.
FBI Assistant Director James E. Dennehy highlighted that OKX actively sought U.S. customers and advised individuals on how to bypass legal procedures: "Blatant disregard for the rule of law will not be tolerated," he said.
Despite having a policy against serving U.S. customers since 2017, OKX facilitated transactions worth over one trillion dollars with them between 2018 and early 2024, generating substantial profits through trading fees.
The exchange did not register as a money services business with FinCEN despite serving U.S.-based customers, enabling transactions without adequate know-your-customer (KYC) processes until early 2024. Furthermore, OKX employees occasionally advised on providing false information to bypass these requirements.
OKX advertised in the United States and collaborated with local affiliate marketers and institutional customers to expand its user base further despite official restrictions against U.S.-based clients.
In early 2024, OKX engaged an external compliance consultant to develop measures preventing transactions by U.S. persons on its platform and agreed to continue working with them until February 2027 as part of the plea agreement.
Assistant U.S. Attorneys Christopher D. Brumwell, Eli J. Mark, and Vladislav Vainberg are leading the prosecution under the Illicit Finance & Money Laundering Unit's oversight.
