Block Inc. Fined $40 Million for Cash App Compliance Failures

Digital payments company Block, led by Twitter co-founder Jack Dorsey, has been fined $40 million by the New York State Department of Financial Services (NYDFS) for allegedly violating cryptocurrency regulations and failing to implement robust anti-money-laundering measures on its Cash App platform. While the company denies any wrongdoing, it has agreed to the penalty and will be subject to a year-long independent monitoring agreement with NYDFS. This follows similar settlements with other state regulators, including a $55 million penalty from the Consumer Financial Protection Bureau and an $80 million settlement with several others.