Another Guild Member Penalized Rybit Exchange Fined 102 Million Yuan by FSC for Violating AntiMoney Laundering Laws

Following ACE Elite Exchange
Previously
Due to failure to implement anti-money laundering regulations, Taiwan’s Virtual Currency Association was fined by the Financial Supervisory Commission for NT$1.52 million. Another member of the association, Rybit Limited, was also fined by the Financial Supervisory Commission for violating anti-money laundering and personal data protection laws.
According to the press release issued by the Financial Supervisory Commission, Rybit Limited violated anti-money laundering and personal data protection laws and related regulations due to the following deficiencies:
1. Failure to conduct appropriate risk assessments for legal entity clients, not specifying regular review frequencies and operational processes for clients with established business relationships, and failing to verify the identity of clients in accordance with regulations.
2. Failure to include the sources of virtual currencies provided by virtual currency suppliers in transaction monitoring, situations involving the accuracy of basic information provided by clients in some transaction monitoring scenarios, but without verifying the accuracy of such basic information.
3. Failure to keep complete records of client transaction records, insufficient to reconstruct individual client transactions.
4. Storing client personal data in external company systems without appropriate security measures.
In response to the violations, the Financial Supervisory Commission announced a fine of NT$1.02 million against Rybit Limited in accordance with Article 5(2), Article 7(5), Article 8(4) of the Anti-Money Laundering Act, and Article 48(2) of the Personal Data Protection Act.