KuCoin, a cryptocurrency exchange, affirms that users' assets are secure despite legal allegations made by the U.S. Southern District of New York (SDNY) prosecutors and the Commodity Futures Trading Commission (CFTC) on March 26.

The exchange stated that it is functioning normally and user assets are protected. KuCoin is investigating the situation with legal counsel and emphasizes compliance with laws and regulations in different countries. Despite recent accusations, KuCoin remains confident.

Meanwhile, KuCoin's native token, KCS, has decreased in value by 12% over the last 24 hours and is currently priced at $12.64. The SDNY pressed criminal charges against KuCoin's co-founders, Chun Gan and Ke Tang, for operating an unlicensed money-transmitting business and failing to maintain an adequate anti-money laundering program.

According to prosecutors, KuCoin did not register with appropriate authorities despite having significant operations in the U.S. The exchange onboarded U.S. users without prior licensing, leading to over $5 billion in suspicious transactions. The CFTC complaint also highlights KuCoin's failure to implement necessary know-your-customer (KYC) procedures.

Both criminal and civil proceedings are ongoing, with the co-founders still at large. While accusations have been made against KuCoin, no mismanagement of user assets has been alleged by prosecutors or regulators.