Which, you know, isn’t something you want to be caught doing. The commission, which regulates US derivatives trading, said the company and its CEO, Changpeng Zhao, “instructed its employees and customers to circumvent compliance controls in order to maximize corporate profits.” Here’s the deal: The CFTC alleges that Binance and its CEO violated US trading laws by, among other things, secretly coaching “VIP” customers within the United States on how to evade compliance controls. Obviously, Binance took one look under the hood at FTX, now at the center of a massive federal fraud investigation, and promptly bailed.) (And if that name sounds familiar, it may because back in November, Binance briefly flirted with bailing out its smaller rival, FTX. ![]() Today, that regulator sued Binance, the world’s largest cryptocurrency exchange, for allegedly doing just that. ![]() And if you’re a big international platform for trading crypto derivatives, you can’t let Americans trade those products if you haven’t registered with the boring-sounding but not-to-be-trifled-with federal regulator known as the Commodity Futures Trading Commission, or CFTC. Mr Shroder joined Binance.US two years ago soon after the departure of prior CEO, Mr Brian Brooks, who left the position after just four months.If you live in America, you’re not allowed to trade crypto derivatives. In August, the firm lost its Asia-Pacific head and in July, a slew of executives including its chief strategy officer. In September, two executives overseeing regions including Eastern Europe and Russia left. “The SEC’s aggressive attempts to cripple our industry and the resulting impacts on our business have real-world consequences for American jobs and innovation, and this is an unfortunate example of that.”īinance.US laid off an unspecified number of workers after the SEC action, Bloomberg reported in June.īinance Holdings has been shedding executives and other employees in recent months as well. Said the firm in a statement: “The actions we are taking today provide Binance.US with more than seven years of financial runway and enable us to continue to serve our customers while we operate as a crypto-only exchange,” a spokesman said in a statement. Monthly trading volume has fallen below early 2020 levels, he added. The firm has had to resort to an alternative method for Binance.US users to convert dollars into crypto.īinance.US’ share of the global market has shrunken to about 0.6 per cent from 2.39 per cent in April, according to Mr Jacob Joseph, an analyst at researcher CCData. ![]() Soon after the SEC action, customers of Binance.US became unable to deposit or withdraw dollars, a consequence of multiple banking partners cutting ties with the platform.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |