The cryptocurrency arm of Robinhood Markets Inc. was fined $30 million by New York State’s financial regulator for possible violations of anti-money-laundering, cybersecurity, and consumer protection rules.
Sign up for our Today’s Cache Technology newsletter to get our thoughts on new topics at the intersection of technology, business, and policy. Go here to sign up for free.)
The New York State Department of Financial Services (NYDFS) says that Robinhood Crypto did not spend enough money on compliance and cybersecurity threats.
The online trading app has been looked into by regulators more than once, including after the meme stock craze of last year.
Cheryl Crumpton, Robinhood’s associate general counsel of litigation and regulatory compliance, said on Tuesday, “We’re glad the settlement we agreed to in principle last year and told the public about is finally done.”
Ms. Crumpton said that the company’s legal, compliance, and cybersecurity systems have made “great progress.”
The NYDFS said that as part of the settlement, Robinhood Crypto will have to hire a third-party expert to look at how well it follows the rules.
The post New York’s banking authority fined Robinhood Crypto $30 million appeared first on NFT News Pro.