Crypto firm Xeltox Enterprises Ltd., operating as Cryptomus, has been fined C$177 million ($126 million) by Canada’s anti-money-laundering agency for multiple regulatory violations.
The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) imposed the penalty on October 16, 2025, marking the largest fine on record from the regulator, according to a statement released Wednesday.
The Vancouver-based company, which offers trading, payments, wallets and a peer-to-peer exchange for cryptocurrencies, allegedly breached rules on suspicious transactions thousands of times in a single month.
FINTRAC’s examination revealed that Cryptomus failed to submit suspicious transaction reports on 1,068 separate occasions during July 2024, where there were reasonable grounds to suspect money laundering or terrorist financing activities.
The regulator also found that Cryptomus failed to report 1,518 instances of receiving $10,000 or more in virtual currency from clients during the same period.
The violations were connected to transactions related to trafficking in child sexual abuse material, fraud, ransomware payments and sanctions evasion, according to FINTRAC.
Additional violations included failure to comply with a Ministerial Directive, failure to develop and maintain proper compliance policies, inadequate risk assessment documentation, and failure to notify authorities about changes to information in prescribed applications.
“We are committed to working with our domestic partners and international allies to protect the safety of Canadians and the security of Canada’s economy,” “Given that numerous violations in this case were connected to trafficking in child sexual abuse material, fraud, ransomware payments and sanctions evasion, FINTRAC was compelled to take this unprecedented enforcement action.”
The penalty comes as Canada’s virtual currency sector continues rapidly, bringing increased risks of money laundering, terrorist financing and sanctions evasion.
In the 2024-25 fiscal year, FINTRAC issued 23 Notices of Violation, the largest number in one year in the agency’s history, totaling more than $25 million in penalties.