Binance the World’s Biggest Crypto Exchange dominates the global digital asset sector.Major cryptocurrency exchange Binance and executives, including CEO and founder Changpeng Zhao, have been sued by the United States Commodity Futures Trading Commission (CFTC) for regulatory violations, according to a court filing. The Commodity Futures Trading Commission (CFTC) said it had filed a civil enforcement action in a federal court in Chicago, charging Zhao and three entities that operate the Binance platform with numerous violations of the Commodity Exchange Act and CFTC regulations. The complaint also charges Binance’s former chief compliance officer, Samuel Lim, with helping Binance commit the violations, as per The Guardian report.
Binance had from at least July 2019 to the present “offered and executed commodity derivatives transactions on behalf of US persons” in violation of US Regulatory laws, the CFTC said.
Binance’s compliance program has been “ineffective” and the firm, under the direction of Zhao, told employees and customers to go around compliance controls, the CFTC said. It also accused Binance’s former Chief Compliance Officer Samuel Lim of aiding and abetting Binance’s violations.
“For years, Binance knew they were violating CFTC rules, working actively to both keep the money flowing and avoid compliance. This should be a warning to anyone in the digital asset world that the CFTC will not tolerate willful avoidance of US law,” CFTC Chairman Rostin Behnam said in a statement.
Binance dominates the global digital asset sector. Its core Binance.com exchange, the world’s biggest, processed trades worth about $23 trillion last year, according to data provider CryptoCompare. Its trading volumes hit $34 trillion in 2021, as CEO Changpeng Zhao said last year in 2022.
Writer & Editor: Ravikant Upadhyay (+91.8085883358)
(Entrepreneur, Programmer, Trader, Investor, Writer, Reporter, Thinker, Mentor, Astrophile)Business Finance & Banking International National Stock & Crypto Market
Keywords: binance, ceo, changpeng zhao, Crypto exchange, Regulatory, sued, US regulator, Violations,
