Accusations from the Department of Justice in the United States have been directed at the cryptocurrency exchange KuCoin and its founders, Chun Gan and Ke Tang, regarding illegal activities. These charges include running an unlicensed money-transmitting business and breaching the Bank Secrecy Act (BSA).

The U.S. Attorney Damian Williams has criticized KuCoin and its founders for allegedly disregarding Anti-Money Laundering (AML) regulations, which enabled the platform to engage in money laundering and terrorist financing. According to Williams, KuCoin purposefully concealed the involvement of U.S. users on their exchange to grow into a prominent global platform with high daily and annual trading volumes.

A civil enforcement action has been initiated by the U.S. Commodity Futures Trading Commission (CFTC) against KuCoin for violating the Commodity Exchange Act. This legal trouble has resulted in a substantial outflow of approximately $1.195 billion from the platform following the announcement of the charges.