Federal Prosecutors Are Investigating This Cryptocurrency Exchange!


As the Binance investigation continues, US prosecutors have begun to sue some hedge funds. Prosecutors are investigating crypto hedge funds’ ties to Binance for money laundering violations.

Cryptocurrency hedge funds in contact with Binance under scrutiny

According to information from an anonymous source reported by The Washington Post, the US Attorney’s Office for the Western District of Washington in Seattle has sued investment companies to reveal their recent transaction and communication records with Binance. According to legal experts, as the Binance investigation continues, the latest call does not mean prosecutors will press charges against crypto exchanges or hedge funds.

Binance is again under investigation after a money laundering case dating back to 2018 came to the fore. Prosecutors are investigating a series of cases involving illegal funds circulating on the stock market. Alleged violations include unlicensed money transfer, money laundering conspiracy and criminal sanctions violations. The Bank Secrecy Act requires cryptocurrency exchanges in the US region to register with the Department of the Treasury. The law also requires exchanges to comply with anti-money laundering regulations.

Meanwhile, Binance official Patrick Hillmann stated that the exchange had an inadequate approach to regulatory compliance in its early years. However, he noted that Binance later followed a compliant path to its compatibility programs. In this context, Binance has joined the Association of Certified Enforcement Professionals, or ACSS, to ensure compliance with global sanctions. On January 6, it announced that its enforcement compliance team will attend ACSS certification training.

The purpose of the ACSS training is to educate the Binance team on the U.S. Department of the Treasury’s Control of Foreign Assets guidelines and to inform them of the potential risks of breaches. Binance, which has come under fire for being unregulated, recently joined the American crypto lobbying group, the Digital Chamber of Commerce. The organization advocates for a number of public policies such as tax offsets for cryptocurrencies, anti-money laundering/know your customer regulations for crypto exchanges, increased regulatory clarity for security tokens, and research on central bank digital currencies.

Binance joins lobbying group as criticism against itself grows

cryptocoin.com As you follow, Binance has joined the Digital Chamber of Commerce, the US crypto industry lobby group. The move comes after Binance was criticized for allegedly being erratic. Joanne Kubba, Binance’s vice president of public relations, stated that she hopes the partnership will lead to clear regulations for the crypto market in the US, saying:

As an organization at the center of the industry’s rapid growth and complex regulatory environment, it is imperative for Binance to work hand-in-hand with policymakers, regulators, and industry groups such as the Chamber. Such work is fundamental to our shared mission to promote the sustainable development of decent regulation for cryptocurrency and blockchain that ultimately provides protection for users.


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