U.S. SEC and DOJ Target Fraudulent Crypto Firms, Including CLS Global
- CLS Global has issued a statement in response to actions from the U.S. SEC and other authorities regarding fraudulent crypto firms.
- The company has a long-standing policy not to engage with U.S. clients, entities, or markets to ensure compliance with regulatory obligations.
- CLS Global is committed to constructive dialogue with U.S. authorities to enhance compliance and operational transparency.
On October 29, 2024, CLS Global, based in Ajman, UAE, responded to enforcement actions taken by the U.S. Securities and Exchange Commission (SEC) and other authorities against multiple cryptocurrency firms. In light of these actions, the company issued a statement clarifying its long-held policy that prohibits any engagement with clients or entities within the United States. CEO Filipp Veselov emphasized the company's commitment to compliance and aimed to maintain operations separate from U.S. markets since its inception. In recognition of the evolving regulatory environment, CLS Global has taken proactive measures by initiating communication with U.S. authorities. The intent behind this dialogue is to clear any misunderstandings and establish a cooperative path forward. The company is also in the process of reviewing and refining its client agreements to ensure that its policies are communicated effectively. Moreover, CLS Global is assessing its partnerships with cryptocurrency exchanges, focusing on those with robust Know Your Customer (KYC) protocols to protect against potential risks. This reassessment intends to further reinforce the company’s compliance framework and operational integrity. Ultimately, CLS Global is dedicated to maintaining transparency and compliance in all jurisdictions where it operates. The company openly expresses its willingness to engage in discussions that will ensure adherence to regulatory requirements and improve its operational practices going forward.