US Investigates Finance For Violation Of Russian Sanctions
The US Department of Justice is investigating Binance, the world’s largest cryptocurrency exchange, over suspicions that it may have led Russian citizens to violate US sanctions. The investigation is in addition to recent regulatory issues faced by Binance, including a recent complaint from the Commodity Futures Trading Commission (CFTC).
The Department of Justice is investigating the activities of Finance
The U.S. Justice Department has opened an investigation into cryptocurrency exchange platform Binance to determine whether it is helping some Russian citizens evade U.S. sanctions, according to unnamed confidential sources familiar with the matter.
This exclusive information was reported by Bloomberg. Interestingly, the survey comes after the recent news that Russian citizens can once again top up their finance accounts using Russian currency.
Finance faces increased regulatory scrutiny
In addition to previous regulatory issues faced by Binance, the platform led by Changpeng Zhao is now facing an investigation by the US Department of Justice. The investigation is in addition to a complaint recently filed by the Commodity Futures Trading Commission (CFTC) against Binance and its CEO, specifically accusing them of allowing US customers to trade in commodity-related derivatives. Following these allegations, the platform’s CEO responded publicly by highlighting Binance’s strict compliance protocol.
In a statement to Bloomberg, Binance said it has made significant improvements to its international legal framework over the past few years. In 2021, the company embarked on a major effort to completely restructure its corporate governance, bringing in experienced, world-class executives to fundamentally transform its global operations. According to the release, Binance has a zero-tolerance policy regarding duplicate registrations, anonymous identities and questionable funding sources.
However, internal financial reports from 2021 released by the CFTC indicate that some people in key positions within the firm admitted that some of their clients engaged in criminal activity, while admitting that they were aware of the problem but were shut down. Eyes.
According to Patrick Hillman, the exchange’s chief strategy officer, the company closed all of its regulatory loopholes last February.
