Another guild member fined Rybit exchange fined NT102 million by FSC for violating antimoney laundering regulations

Another guild member fined Rybit exchange fined NT102 million by FSC for violating antimoney laundering regulations

Another guild member fined Rybit exchange fined NT102 million by FSC for violating antimoney laundering regulations

Following the previous penalty of 1.52 million NT dollars imposed by the Financial Supervisory Commission (FSC) on ACE Exchange for failure to implement anti-money laundering regulations, another member of the Taiwan Virtual Currency Association has been fined by the Securities and Futures Bureau (SFB) for violating the Anti-Money Laundering Act.

According to a press release issued by the SFB, Rybit Limited (Rybit) has violated the Anti-Money Laundering Act and related laws and regulations on personal data protection due to the following deficiencies:

1. Failure to conduct appropriate risk assessment for corporate clients, failure to establish periodic review frequency and operational procedures for customers with established business relationships, and failure to verify customer identities in accordance with regulations.

2. Failure to include the sources of virtual currencies provided by virtual currency suppliers in the scope of transaction monitoring, and situations involving the accuracy of customer-provided basic information in certain transaction monitoring patterns, without verifying the accuracy of such information.

3. Failure to retain complete customer transaction records, which are insufficient for reconstructing individual customer transactions.

4. Storing customer personal data in external company systems without appropriate security measures.

In response to these violations, the FSC has announced a fine of 1.02 million NT dollars on Rybit in accordance with Article 5, Paragraph 2, Article 7, Paragraph 5, Article 8, Paragraph 4 of the Anti-Money Laundering Act, and Article 48, Paragraph 2 of the Personal Data Protection Act.