Binance Responds to CFTC Complaint, Highlighting Strong Compliance

Binance, one of the world’s largest cryptocurrency exchanges, has issued a statement in response to the recent civil complaint filed by the United States Commodity Futures Trading Commission (CFTC). Despite working cooperatively with the CFTC for over two years, the complaint came as a surprise to the company. Upon an initial review of the complaint, Binance believes that it contains an incomplete recitation of facts and disagrees with the characterization of many of the issues alleged.

Technology for Compliance and US Blocks has developed best-in-class technology to ensure compliance and remains committed to maintaining one of the highest standards in KYC and AML. As the first global (non-US) exchange to implement a mandatory KYC program, Binance blocks US users by nationality, IP, mobile carrier, device fingerprints, bank deposit and withdrawals, blockchain deposits and withdrawals, credit card bin numbers, and more. Binance is aware of no other company using systems more comprehensive or effective than theirs.

Cooperation and Transparency with Law Enforcement

Binance is committed to transparency and cooperation with regulators and law enforcement agencies globally. With over 750 people in their Compliance teams, many with prior law enforcement and regulatory agency backgrounds, Binance has handled over 55,000 law enforcement requests to date. In 2022 alone, Binance assisted US law enforcement in freezing/seizing over $125 million in funds, and in 2023 so far, they have helped to freeze/seize over $160 million.

Registrations and Licenses holds the highest number of licenses and registrations globally, with 16 and counting. The exchange is well-regarded by their user community and remains committed to maintaining the highest standards of regulatory compliance.

Trading does not trade for profit or manipulate the market under any circumstances. Binance trades in a number of situations and needs to convert their revenues from crypto to fiat or other crypto currencies to cover expenses. Binance has affiliates that provide liquidity for less liquid pairs, which are monitored to prevent large profits. Additionally, Binance has a 90-day no-day-trading rule for employees to prevent active trading, prohibits employees from trading in Futures, and has strict policies for anyone with access to private information.

Moving Forward

Binance is committed to finding amicable solutions to all problems and remains collaborative with regulators and government agencies around the world. The company holds itself to a high standard, often higher than existing regulations require, and believes in doing the right thing by their users at all times. As Binance continues its journey towards freedom of money, the company acknowledges that there will be challenges but remains steadfast in their commitment to providing a solid platform that serves their users

Leave a Reply

Your email address will not be published. Required fields are marked *

Latest Crypto Fear & Greed Index