Block Inc., the company behind the Cash App platform, has agreed to pay $40 million to settle claims brought by New York state regulators.
The New York Department of Financial Services (NYDFS) said the fine came after an investigation into how the company handled rules around anti-money laundering (AML) and cryptocurrency transactions.
According to Bloomberg, which reviewed the regulator’s consent order, NYDFS found several issues with how Cash App was run. The report said Block failed to properly check the background of its users and did not take enough steps to review risky Bitcoin
$86,288.40
transactions.
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Block said it worked with NYDFS to resolve concerns linked to how Cash App used to handle compliance. However, the company did not admit it broke any rules.
Bloomberg noted that the two sides had been working on a settlement since 2024, based on documents filed with the US Securities and Exchange Commission (SEC).
The company, created by Jack Dorsey in 2009, continues to perform well despite the regulatory issues. At the end of 2024, Block reported a 4.5% increase in revenue compared to the previous year, which reached $6.03 billion.
Block’s payment systems processed $61.95 billion in the same period, a 10% increase in total volume. This growth shows the company’s services remain in high demand.
Meanwhile, CLS Global, a company that provides liquidity in crypto markets, was recently fined over $428,000 and banned from operating in US crypto markets. Why? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
