The cryptocurrency exchange Kraken has agreed to pay $362,000 to settle sanctions violations against Iran, according to OFAC.
The platform voluntarily disclosed violations that occurred between October 2015 and June 2019. During this period Kraken processed 826 transactions totaling $1.7 million for users located in Iran.
According to OFAC, this was possible because the exchange had not implemented an IP-blocking system for addresses associated with sanctioned jurisdictions.
After discovering the issue, Kraken began using blockchain analytics tools to monitor illicit activity. The company also appointed a dedicated head of sanctions to lead its compliance efforts.
To settle the claims, Kraken is investing $100,000 in compliance controls, in addition to the fine.
As Reuters reported, since 2018 the cryptocurrency exchange Binance processed Iran-related transactions worth $8 billion , despite U.S. sanctions on the country.
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