Robinhood Crypto had certified to the DFS in 2019 that they were in compliance with those regulations, despite the fact that they were not. The DFS imposed a $30 million fine to the company, and also ordered them to hire an outside party to evaluate their regulatory compliance and efforts to remediate the problems with their platform.
Robinhood fined $30 million over lackluster cybersecurity and anti-money laundering protections in their crypto offering
The New York Department of Financial Services levied a $30 million fine against Robinhood, an app used for stock trading that has also branched into crypto. According to the DFS, Robinhood Crypto demonstrated "significant failures" in its anti-money laundering and cybersecurity obligations.