FCA fines Coinbase subsidiary $4.5M over providing service to high-risk customers

The U.K. Financial Conduct Authority issued a fine of $4.5 million (3.5 million pounds) against a U.K.-based subsidiary of crypto platform Coinbase for providing services to high-risk customers in violation of FCA rules.

CB Payments Limited (CBPL), a crypto asset trading platform, repeatedly breached rules that should have prevented the firm from offering services to high-risk customers, the FCA said Thursday in a press release.

The FCA said the move represented the first enforcement action under powers granted by the Electronic Money Regulations 2011. The final fine amount represented a 30 percent reduction, in part due to the firm’s cooperation, the FCA said.