Bloomberg: ‘US Department of Justice opens investigation into Binance’ – IT Pro – News

The US Department of Justice and US federal tax authorities have opened an investigation into the financial practices on the cryptocurrency exchange Binance. That writes Bloomberg news agency.

According to Bloomberg Federal investigators specializing in uncovering money laundering and tax evasion have gathered information about the cryptocurrency exchange from individuals who know the company inside out.

A Binance spokesperson did not address the matter but stated to The Verge that the company strongly monitors their policies in relation to money laundering and that it provides tools that financial institutions can use to detect and report suspicious transactions. “We take our legal responsibility very seriously,” he says.

It’s not the only research currently on Binance. The US stock market watchdog Commodity Futures Trading Commission opened in March an investigation into Binance because it wants to find out whether Binance allowed its US clients to trade investment instruments covered by US law when it was not then licensed to do so. Binance has not yet been formally suspected.

According to crypto analytics firm Chainalysis, approximately $ 756 million in criminal transactions passed through the cryptocurrency exchange in 2019. Binance has been the largest cryptocurrency exchange since April 2021. At the time of writing, the exchange is processing about 61 billion dollars in trading volume.

Changpeng Zhao, de ceo van Binance, said on Twitter that he found the title of Bloomberg’s article ‘bad’. He emphasizes that Binance worked with government agencies to combat bad actors.

Update, 9:00 pm: content tweet from CEO Binance added thanks reaction.

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