According to a recent report, U.S. federal prosecutors have sued Binance, the world’s largest cryptocurrency exchange, for extensive internal records of anti-money laundering checks and communications involving its top founder and executive, Zhao Changpeng. was simply asked to provide the
In addition, the Department of Justice’s Money Laundering Division has issued a complaint to Binance from Mr. Zhao and 12 other officers and partners on issues involving the unlawful solicitation of customers and the discovery of trading exchanges in the United States. I requested that the message be handed over voluntarily.
Not only that, but it is also said to look for company records with instructions to “destroy, alter, or remove the document from Binance’s files” or “transfer it from the United States.”
Similarly, Binance has been known to have been under U.S. regulatory oversight for quite some time, and the Commodity Futures Trading Commission is investigating allegations of insider trading and market manipulation by the cryptocurrency exchange. Additionally, in a tweet, CZ said his “chat messages are semi-public anyway.”
“As is well documented, regulators around the world are reaching out to all major crypto exchanges to better understand the industry. It’s been a tough process and we regularly work with institutions to address any outstanding issues,” said a Binance spokesperson.
As noted in the gadgets now report, the December 2020 request, which was previously unreported, was part of the Department of Justice’s investigation into Binance’s compliance with U.S. financial crimes laws, and is still under investigation. It is ongoing, said four people familiar with the investigation.
U.S. authorities are investigating whether Binance has violated bank secrecy laws, according to people familiar with the matter. This requires cryptocurrency exchanges to register with the Treasury and comply with anti-money laundering requirements if they conduct “substantial” business in the United States. The law, which aims to protect the U.S. financial system from illicit finance, provides for prison sentences of up to 10 years, they added.
We hope that by reading this far you must have had a fair insight into the record the Binance CEO was seeking in the US for his crypto money laundering investigation. What do you think should be done and what are their next steps!
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