Lithuania Imposes $10M Fine on Crypto Company for Sanctions Violation

This post was originally published on Coinspeaker

Lithuania currently hosts approximately 580 crypto firms providing various blockchain-related services within its borders.

The Lithuanian government has levied a fine of €9.3 million, equivalent to approximately $10.1 million, on a crypto company named Payeer for breaching sanctions and anti-money laundering regulations in the country.

According to a recent statement from Lithuania’s financial crimes authority, the Financial Crime Investigation Service (FNTT), Payeer continued to offer services to its Russian clientele despite Russia being on Lithuania’s sanctions list. The firm facilitated transactions for Russian banks, thus circumventing sanctions.

Payeer’s Operations and Violations

FNTT disclosed that a significant portion of Payeer’s customer base, totaling 213,000 users, is located in Russia. Despite efforts to conceal customer identities, authorities discovered that the company enabled transactions in Russian rubles for clients outside Lithuania.

Furthermore, the financial authorities revealed that the company provided both individuals and corporate entities registered in Russia with crypto wallet, account management, and storage services.

Consequently, the authorities have fined Payeer €8.24 million for breaching international sanctions and an additional €1.06 million for violating anti-money laundering laws. However, Payeer retains the right to contest the fine in court.

The company headquartered in Lithuania Commenced operations as a crypto service

Read the rest of this post, which was originally published on Coinspeaker.

Previous Post

Bitwise Faces Multi-Million Dollar Lawsuit as Mukamal Family Sues Them for $2M in Damages

Next Post

Mastercard and Medical Tourism Association team on cross-border healthcare payments