U.S. authorities investigate Block's crypto transactions

Once again, the U.S. Justice Department is tough on a crypto company. Jack Dorsey's company Block is currently under investigation.

The crypto division of Block (a company that helps you with your crypto taxes) is under investigation by the US Attorney General. According to a new report from NBC they are working with whistleblowers to scrutinize the company's practices. The allegation: Due to inadequate controls, the company, founded by Twitter co-founder Jack Dorsey, allegedly processed crypto transactions that were used to finance terrorism and evade sanctions. It also alleged years of compliance failures at the company's two main divisions, Square and Cash App.

A former Block employee reportedly showed NBC News hundreds of documents showing crypto transactions with countries such as Cuba, Iran, Russia and Venezuela.

Block is considered a hugely successful payments company. In December, the company's own cash app had 56 million active user accounts and generated nearly $22 billion in revenue for the payment service provider.

Crypto was incorporated by app in 2017. At the time, people could buy Bitcoin through the app. Block CEO Jack Dorsey, who previously founded Twitter, is an avid Bitcoin user. Recently, the U.S. Justice Department has cracked down on several crypto platforms and entrepreneurs. The ban on the Samourai wallet was followed by the arrest of Roger Ver in Spain.