On-chain investigator ZachXBT on May 22 accused KuCoin of shielding $13 million in stolen cryptocurrency from German law enforcement. In a public statement, he labeled the exchange "complicit" for allegedly refusing to cooperate with authorities and allowing stolen funds to move through its platform without intervention.
The accusation raises immediate questions about KuCoin's compliance with anti-money laundering rules and its willingness to work with law enforcement.
The $13 million claim
According to ZachXBT's investigation, the stolen cryptocurrency flowed through KuCoin's platform without the exchange stepping in. When German law enforcement sought assistance, KuCoin allegedly declined to help. The $13 million figure represents a portion of stolen funds, though ZachXBT did not specify the source of the stolen crypto or the original crime.
What ZachXBT said
ZachXBT made the accusation in a public statement published May 22. He described KuCoin as "complicit" in facilitating illicit activity. The on-chain investigator did not provide additional evidence or documentation in the statement, leaving the broader crypto community to assess the credibility of the claim.
Whether German authorities will act on the allegations is unclear.
