A U.S. federal court has imposed a permanent injunction on Peken Global Limited, the operator behind the KuCoin exchange, after regulators found the firm allowed U.S. users to access its platform without proper registration.
According to a March 30 announcement from the Commodity Futures Trading Commission, the U.S. District Court for the Southern District of New York entered a consent order that resolves all claims against the company. The order prohibits Peken Global from offering access to U.S. participants unless it registers as a foreign board of trade.
“The order permanently enjoins Peken Global from future violations,” the CFTC said in its official release.
The court also imposed a $500,000 civil monetary penalty. The regulator confirmed that it did not pursue disgorgement in this case, citing the company’s cooperation during the investigation and related proceedings.
Settlement closes multi-entity case
The resolution ends a case that started in March 2024, when the CFTC filed a complaint against several groups connected to KuCoin's business. These included Mek Global Limited, PhoenixFin PTE Ltd., and Flashdot Limited.
The court dismissed all claims against those firms with prejudice. It also dismissed several counts in the complaint against Peken Global. Together, the consent order and dismissals conclude the enforcement action referenced in the agency’s earlier press materials.
Federal Court Enters Permanent Injunction Against Peken Global Limited: https://t.co/ceUdshuxK5
— CFTC (@CFTC) March 30, 2026
The CFTC had alleged that KuCoin operated an unregistered offshore commodities exchange. The complaint also stated that the platform failed to register as a futures commission merchant and did not implement effective customer identification procedures.
Regulators argued that the exchange allowed U.S. users to trade directly on its electronic system without meeting regulatory requirements. The case centered on activity that took place between July 2019 and June 2023.
Criminal case and financial penalties shaped outcome
The civil penalty reflects earlier enforcement actions. In a parallel case brought by the Department of Justice, Peken Global pleaded guilty to operating an unlicensed money transmitting business.
That case, filed as United States v. Flashdot Limited, included a forfeiture order and a substantial financial settlement. Public records show that the company agreed to pay more than $300 million in combined penalties, including a criminal fine and forfeiture.
The CFTC noted that this prior resolution influenced its decision not to seek additional disgorgement in the civil case. The agency pointed to Peken Global’s cooperation across both investigations.
The settlement with the CFTC allows the company to resolve the matter without admitting or denying the allegations.
Ongoing restrictions for US market access
The court order places clear limits on KuCoin’s ability to serve U.S. users. Peken Global must register with the CFTC as a foreign board of trade before it can legally offer access to American participants.
The restriction aligns with earlier commitments tied to the Department of Justice case. That agreement requires the exchange to exit the U.S. market for at least two years.
The CFTC had initially sought stronger measures, including permanent trading bans and broader financial penalties. The final outcome reflects a negotiated resolution that incorporates both civil and criminal proceedings.
Broader compliance pressure on crypto exchanges
The case shows continued enforcement pressure on offshore exchanges that serve U.S. customers. Regulators have focused on registration requirements, anti-money laundering controls, and customer verification systems.
In its 2024 complaint, the CFTC alleged that KuCoin failed to implement adequate know-your-customer procedures. The agency stated that the platform did not properly verify user identities or prevent U.S. participation.
Similar scrutiny has appeared in other jurisdictions. Authorities in Dubai previously raised concerns that KuCoin operated without required approvals while presenting its licensing status inaccurately.
The latest court order strengthens the requirement for crypto exchanges to align operations with local regulatory frameworks. It also shows how cooperation in investigations can influence penalties and final outcomes.
Case resolution
The consent order closes a major chapter for KuCoin’s U.S. regulatory exposure. It follows more than a year of legal action across civil and criminal courts.
The outcome leaves Peken Global with strict conditions for any future U.S. activity. At the same time, it avoids additional financial penalties beyond those already imposed in earlier proceedings.
The decision from the Southern District of New York provides a clear enforcement signal. Exchanges that offer access to U.S. users without registration face legal consequences, even when operations are based offshore.
Roman Zaika
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