Binance Fall in Court against U. S. Regulator
2023.03.27 13:27
Binance Fall in Court against U. S. Regulator
By Tiffany Smith
Budrigannews.com – According to a court filing on Monday, the U.S. Commodity Futures Trading Commission (CFTC) has filed a lawsuit against major cryptocurrency exchange Binance and executives, including CEO and founder Changpeng Zhao, for violating regulations.
According to the CFTC’s complaint, Binance, the largest cryptocurrency exchange in the world, “offered and executed commodity derivatives transactions on behalf of U.S. persons” since at least July 2019.
According to the CFTC, Binance’s compliance program has been “ineffective” and Zhao instructed employees and customers to circumvent compliance controls. It also said that Samuel Lim, Binance’s former Chief Compliance Officer, helped and encouraged the company’s violations.
When contacted for comment, Binance did not immediately respond.
“Binance actively worked to keep the money flowing and avoid compliance for years even though they were aware they were breaking CFTC rules. In a statement, CFTC Chairman Rostin Behnam said, “This should be a warning to anyone in the world of digital assets that the CFTC will not tolerate willful avoidance of U.S. law.”
The global market for digital assets is dominated by Binance. According to CryptoCompare, a data provider, its main exchange, Binance.com, which is the largest in the world, processed trades worth approximately $23 trillion in the past year. Zhao stated last year that its trading volumes will reach $34 trillion in 2021.
