Block, Inc., the financial technology company founded by Jack Dorsey, has agreed to pay a $40 million settlement to New York regulators due to failures in its anti-money laundering (AML) compliance related to its Cash App platform. The New York State Department of Financial Services (NYDFS) identified serious deficiencies in Block's transaction monitoring and user vetting processes, which allowed high-risk and anonymous Bitcoin transactions. Reports indicate that over 169,000 alerts regarding suspicious activity were left unaddressed, with some reports filed more than a year late. As part of the settlement, Block will also hire an independent monitor to oversee its compliance efforts. The case underscores ongoing regulatory scrutiny of cryptocurrency operations, particularly in light of recent calls from New York Attorney General Letitia James for Congress to bolster federal regulations on digital assets.