The Commodity Futures Trading Commission (CFTC) has secured a permanent injunction against Peken Global Limited, the operator of the KuCoin crypto exchange, for violating U.S. regulatory requirements, according to a newly released court order.
In its press release, the agency said a federal court in the Southern District of New York entered a consent order finding that Kucoin allowed U.S. users to access its trading platform without registering as a foreign board of trade, as required under U.S. commodities laws.
As part of the ruling, Peken Global has been permanently barred from continuing such violations and must pay a $500,000 civil monetary penalty.
The order effectively restricts the firm from offering its services to U.S. participants unless it complies with CFTC registration rules.
The case stems from an enforcement action initially filed in 2024, targeting multiple entities connected to the KuCoin platform.
Alongside Peken Global, the CFTC had also named Mek Global Limited, PhoenixFin PTE Ltd., and Flashdot Limited as defendants.
However, the court approved a voluntary dismissal with prejudice for those entities, resolving all remaining claims in the case.
Notably, the court order does not require disgorgement, a decision influenced by Peken Global’s cooperation with authorities during the investigation and related proceedings.
The company had also faced parallel criminal action, where it pleaded guilty to operating an unlicensed money transmitting business and was subject to forfeiture measures.
Regulators emphasized that the enforcement action reinforces the requirement for offshore crypto platforms to comply with U.S. laws when providing access to American users.
The CFTC has increasingly stepped up oversight of digital asset trading venues, particularly those operating across jurisdictions without proper registration.
The resolution of the case marks another milestone in the agency’s broader push to enforce compliance in the rapidly evolving cryptocurrency sector, signaling that foreign-based exchanges remain subject to U.S. regulatory scrutiny when engaging with domestic investors.
