The registration of the cryptocurrency platform Plusspay in Chile has been canceled by the decision of the regulatory body. Following this step, the platform’s authority to accept customers and provide services in the country was removed. Authorities also want the company to return customer assets it holds.
Process leading to cancellation of registration
Chilean financial regulator Comisión para el Mercado Financiero announced on June 26 that it had withdrawn the registration of Inversiones Plusservice SpA, the company behind Plusspay. The authority’s decision effectively stopped the company from operating in Chile and required the repayment of remaining customer deposits. CMF is among the main institutions that oversee Chile’s financial markets.
Plusspay advertised itself as a financial services provider regulated in Chile. However, it was stated that the company does not have a full operating permit, but only registration status. According to Chilean legislation, a company must first register with the fintech registry and then also obtain an operating permit.
CMF explained that although Plusspay had completed the registration phase, it presented itself as a regulated platform without obtaining the necessary second approval.
Suspicious money flow and investigation
According to the investigation, Plusspay mainly converted funds deposited in Chilean pesos into stablecoins such as Tether and USD Coin. Prosecution authorities state that these assets were later transferred to wallets and bank accounts abroad.
Authorities estimate the total amount of suspicious transactions linked to this network to be over $84 million. It was claimed that the funds in question originated from illegal activities linked to the Venezuela-based criminal organization Tren de Aragua. The Foreign Assets Control Office of the US Treasury Department classified Tren de Aragua as a global criminal organization in 2024.
Mini dictionary: Stablecoin is a type of cryptocurrency whose value is usually pegged to an asset such as the US dollar. USDT and USDC are among the most commonly used examples in this field.
An arrest warrant has been issued for the founder of the platform, 38-year-old Venezuelan citizen Jose Manuel Rios Guaido, by the Southern Metropolitan District Prosecutor’s Office. The prosecutor’s office alleges that Rios Guaido used various front companies bearing the Bex brand to conceal the flow of money within the Chilean banking system. It was reported that a company linked to the same address was also detected in Florida.
The company was asked to stop accepting new users, but was allowed to process the refund of all deposits belonging to existing customers.
Authority issue and expansion of control in Chile
Plusspay was founded in 2021 and the platform was launched in 2023 to offer crypto custody and brokerage services. The company registered at the beginning of 2024, but started marketing activities without completing the second stage authorization process.
CMF points out that platforms operating without full authorization can present themselves as licensed. The regulatory body does not have the authority to directly shut down these companies. In return, it can report violations to the prosecutor’s office and cancel the registration, as in the Plusspay example.
The authority is now reviewing all companies on the fintech registry for compliance with current obligations. It was stated that, apart from Plusspay, some companies were also flagged for not meeting the updated information requirements. Operating without the necessary authorization is considered a serious violation under the Chilean Fintech Law; If fraud accusations are added to this, the judicial process can become even more severe.
