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Cryptocurrency trading platform Paxful was fined $4 million by the U.S. Department of Justice for anti-money laundering negligence. U.S. prosecutors stated that Paxful knowingly allowed some customers to fund their activities through the platform despite being aware that their funds originated from crimes such as fraud, prostitution, and sex trafficking, and continued to facilitate these transfers for profit. Between 2015 and 2022, Paxful's Bitcoin transfers related to the sex trafficking website Backpage amounted to approximately $17 million, with the platform earning at least $2.7 million. The company suspended operations in 2019 and pled guilty in December 2025. An initial fine of over $112 million was proposed, but after assessing its ability to pay, the final fine was reduced to $4 million. (The Block)