CRYPTO NEWS

Robinhood’s Crypto Department Got Fined For Violations; Here’s What We Know

Robinhood’s crypto related activities have been on an expansion but it has now been charged with regulatory violation. The recent-most regulatory concern was surrounded around violating anti-money laundering and cybersecurity rules.

A New York State department stated that the crypto unit of Robinhood had defied certain regulations and was penalised for it. The Robinhood Markets Inc’s crypto wing was fined $30 million by New York’s financial regulator.

In the first crypto-related enforcement, the New York State Department of Financial Services (NYDFS) had imposed a fine on the cryptocurrency trading subsidiary of online brokerage owing to breach of cybersecurity standards and anti-money laundering rules.

According to the report, Robinhood Crypto LLC was unsuccessful in maintaining and certifying anti-money laundering and cybersecurity guideline. According to the terms of the consent order, the organisation will now need to hire an outside consultant who will be responsible in reviewing the length till which the company complied with the requirements that were imposed by the NYDFS along with remedial efforts.

Supervisory Exam Discovered Faulty Crypto Trading Compliance

NYDFS through supervisory enforcement examination uncovered considerable failures. Through this examination it was revealed the collapse was caused by shortcomings within the company’s management due to lack of compliance programs.

The other shortcomings include failure in fostering and maintaining a culture of compliance and simultaneously allocate resources to the programs. An enforcement investigation of Robinhood was carried out after the violations were discovered. The problems had aggravated further has the company grew rapidly unable to manage the aforementioned aspects.

Cheryl Crumpton, Associate General Counsel of Litigation and Regulatory Enforcement of Robinhood, had stated,

We have made significant progress building industry-leading legal, compliance, and cybersecurity programs, and will continue to prioritize this work to best serve our customers.

Related Reading | How The SEC Uncovered A $300 Million Crypto Pyramid Scheme

The Fine Imposed Was Not Unanticipated

This penalty didn’t look unexpected to Robinhood. According to the statements which were made last year, Robinhood was expecting to receive a fine from the New York regulator.

The organisation in its latest quarterly filing mentioned that it had close to 15.9 million monthly active users as of March end and also publicly disclosed for the first time that the investigation and the settlement with the NYDFS which happened a year ago.

According to Robinhood, it had anticipated to receive a penalty of $10 million at the least. This estimated figure was submitted on the paperwork provided to the Securities And Exchange Commission (SEC).

As per the statements of the company last year, the investigation carried out in the month of 2020 had “focused primarily on anti-money laundering and cybersecurity-related problems” which also unravelled multiple violations of regulatory standards.

Although the estimated amount of the fine was $10 million as Robinhood had taken into account, it rose to be way more than that and resulted in a total of $30 million.

Related Reading | Shiba Inu Unveils The Name Of Its New CCG Game

Bitcoin was priced at $23,400 on the four hour chart | Source: BTCUSD on TradingView
Featured image from TIME, chart from TradingView.com

Will Bitcoin and Ethereum Price Maintain The Bullish Trend In Coming Week?

The post Will Bitcoin and Ethereum Price Maintain The Bullish Trend In Coming Week? appeared first on Coinpedia – Fintech & Cryptocurreny News Media| Crypto Guide The overall crypto market cap is now maintaining its range above $1 trillion, and the majority of the cryptocurrency assets seem to be thriving.  The Bitcoin price, which was::Listen

btceth_1200x628

The post Will Bitcoin and Ethereum Price Maintain The Bullish Trend In Coming Week? appeared first on Coinpedia – Fintech & Cryptocurreny News Media| Crypto Guide

The overall crypto market cap is now maintaining its range above $1 trillion, and the majority of the cryptocurrency assets seem to be thriving. 

The Bitcoin price, which was earlier struggling around $23,000, has reclaimed the $24,000 level and might close the weekend on a bullish note.

However, the latest analysis has a different prediction. As per reports, Bitcoin (BTC) could find its bottom around $20,000.

Capo, a popular crypto analyst took to Twitter saying “one last high to rekt early shorts.” Another trader named Jibon had a similar warning, as he advised his followers to wait and buy at a higher price (once the trend is confirmed) and to refrain from trading at the spot price. 

On the flip side, Credible Crypto has a bullish approach stating that the Bitcoin price remains bullish until and unless the price loses the $20,700 range.

Ethereum’s Market Cap Surges By 20%

Meanwhile, the lead altcoin, Ethereum, is leading the crypto market after the currency saw a splendid surge to reach levels near $2,000. At the time of reporting, Ethereum has slightly plunged and is trading at $1,974, with a surge of 5.11% over the last 24hrs.

Since May 23, this is one of the best Ethereum price actions registered as the currency touched $2,020.

An on-chain analyst, Material Scientist, noted that Ethereum’s crypto market cap has surpassed 20% while Bitcoin’s has plunged by 40%.

Robinhood’s Crypto Department Got Fined For Violations; Here’s What We Know

Shopping cart
There are no products in the cart!
Continue shopping
0