A US federal court has barred the operator of crypto exchange KuCoin from allowing American users to access its platform without proper registration.
US Court Bars Unregistered Access to KuCoin, Tightening Oversight of Offshore Exchanges
31 March 2026 - 13:20 CEST
By Sandmark staff
The Commodity Futures Trading Commission (CFTC) said the US District Court for the Southern District of New York entered a consent order against Peken Global Limited, which operates KuCoin. The order prohibits the firm from permitting US participants to trade on its platform without registering as a foreign board of trade.
The order imposes a permanent injunction against future violations and requires Peken Global to pay a $500,000 civil penalty. Disgorgement - the repayment of profits made through the violation - was not sought, with the CFTC citing the firm's cooperation in the investigation.
Parallel criminal case
In a parallel criminal case, Peken Global pleaded guilty to operating an unlicensed money transmitting business. Both the civil and criminal matters are now resolved.
The case highlights US regulators' increasing focus on offshore platforms that provide direct access to domestic users without meeting registration requirements.
Global regulatory pressure builds
The ruling comes as KuCoin faces mounting pressure in other jurisdictions. Earlier this month, Dubai's Virtual Assets Regulatory Authority issued cease-and-desist notices to KuCoin and MEXC for operating without licences. In Thailand, the Securities and Exchange Commission recently suspended a KuCoin-linked entity over capital-adequacy issues.
