Former New York Governor Andrew Cuomo Advised OKX During $505M Probe

After resigning from his gubernatorial position in August 2021, Cuomo, a licensed attorney in New York, began offering private legal services to various corporations and individuals. Among his clients was OKX, a prominent player in the cryptocurrency market. Cuomo's involvement with OKX focused on advising the company's executives on policy matters and formulating responses to a federal probe initiated by the FBI and prosecutors from the Southern District of New York.

The investigation centered on allegations that OKX operated an unlicensed money-transmitting business, violating U.S. Anti-Money Laundering (AML) laws between 2018 and 2024. Despite implementing a policy in 2017 to prevent U.S. persons from transacting on its platform, the Department of Justice found that OKX continued to engage with U.S.-based clients. In response to these findings, on February 24, OKX agreed to a settlement involving the payment of $84 million in civil penalties and the forfeiture of $421 million in fees, totaling $505 million.

Beyond legal advice, Cuomo is reported to have influenced key executive appointments within OKX. Notably, he recommended Linda Lacewell, a former superintendent of the New York Department of Financial Services and a longtime associate, for a leadership position. Lacewell joined OKX's board of directors in 2024 and was appointed as the company's chief legal officer on April 1.

In the aftermath of the settlement, OKX has expressed a commitment to bolstering its regulatory compliance framework. The company plans to hire a compliance consultant to address the issues highlighted during the federal investigation. OKX CEO Star Xu emphasized the company's vision to become the "gold standard" of global compliance across various markets and regulatory bodies.

Since leaving office, Cuomo has been engaged in providing private legal services, representing both individuals and corporations on a range of matters. His spokesperson, Rich Azzopardi, stated that Cuomo has not represented clients before any New York city or state agencies and routinely recommends former colleagues for positions.

Andrew Cuomo's advisory role with OKX underscores the complex intersections between political figures and the rapidly evolving cryptocurrency industry. As OKX moves forward with its enhanced compliance initiatives, the influence of Cuomo's counsel during a critical period remains a notable aspect of the company's recent history.