The British financial regulator has fined Coinbase $4.5 million for repeatedly failing to comply with requirements that restricted it from serving high-risk customers. CB Payments Limited, part of the Coinbase Group, allowed over 13,400 high-risk customers to trade crypto despite an agreement with the Financial Conduct Authority (FCA).

These customers deposited nearly $25 million.

The FCA cited Coinbase’s lack of adequate control and monitoring, which went unnoticed for almost two years. Coinbase acknowledged the shortfall and pledged to improve compliance standards. Following the announcement, Coinbase shares dropped nearly 5%.