Coinbase has been fined €21.5 million by the Central Bank of Ireland (CBI) after a technical error in its transaction monitoring system left thousands of transactions unscrutinised between July 2021 and September 2022. This lapse exposed the company to regulatory scrutiny for failing to adequately monitor customer activity, potentially increasing money laundering risks. The error allowed approximately €13 million worth of transactions to bypass Coinbase’s anti-money laundering (AML) controls. Coinbase acknowledges the problem was identified and resolved within weeks. They reported 2,700 Suspicious Transaction Reports (STRs), covering these flagged transactions. The company insists no financial loss occurred to customers and that there is no evidence of criminal activity tied to the unscreened transactions. Following this incident, Coinbase has invested in bolstering its AML framework and implementing measures to prevent similar issues from recurring.