One of the largest digital asset platforms OKX has moved its regulatory division in the United States to top-tier status. This information was reported by journalist Colin Wu, citing anonymous sources.
According to Wu, all actions and decisions regarding the operations of this division will now be prioritized. The change in operational strategy was a response to recent accusations against cryptocurrency exchange #KuCoin and its executives for allegedly facilitating money laundering and defrauding investors.
Exclusive: OKX, the second-largest offshore exchange, has internally moved its US-based compliance department to the highest priority of all departments. All operations are conducted with the highest priority by this compliance department. People familiar with the matter told… pic.twitter.com/8FQRCZuxTc
— Wu Blockchain (@WuBlockchain) March 28, 2024
Following the investigation, withdrawals from the KuCoin platform surged to $882 million within a day.
"After the indictment of KuCoin and its creators, there was speculation about the potential risks to other overseas exchanges," Colin Wu emphasized.
In March 2024, OKX suspended trading of USDT pairs in #Europe, explaining the regulatory obligations. The company #Tether, the issuer of the steiblcoin, has so far refrained from commenting on the situation.
Additionally, the digital asset exchange released a reserves report in the same month, confirming that user funds on the platform are backed by more than 100 percent reserves.
