Former Digitex CEO, Adam Todd, pleaded guilty to failing to establish an Anti-Money Laundering (AML) program. 🤦‍♂️ Todd confessed in South Florida federal court on May 7.

In his 2020 announcement, Todd stated there was no KYC identity verification following a data breach at Digitex. Former exchange employees reportedly stole information from users' passports and driver's licenses.

At the time, Digitex claimed to be blocking US IPs and asked users to confirm that they were not based in the US. The US Commodity Futures Trading Commission (CFTC) then filed suit against Todd and Digitex in 2022. The following year, they won the case, resulting in an order for $16 million in disgorgement and fines.

Todd faces up to five years in prison and a $250,000 fine for his actions. However, the US Attorney's Office has not announced a date for Todd's sentencing hearing.

What do you think about this? Share in the comments column! 👇#cryptonews#AML #KYC