- Justice Department probes Binance's potential role in helping Russians evade US sanctions
- Investigation runs alongside existing criminal division inquiry, adding pressure on the world's largest crypto exchange
- Binance insists on strong compliance controls and collaboration with regulators and law enforcement
So, there's some drama going down with Binance Holdings Ltd., the world's largest cryptocurrency exchange. Word on the street is that the Justice Department's national security division is checking if Binance was used to help Russians dodge US sanctions, all in relation to Russia's invasion of Ukraine. This is all hush-hush though, as it's a confidential investigation.
Now, what makes this extra spicy is that this new investigation runs alongside an existing one by the criminal division. So, Binance is really feeling the heat as the crypto industry gets rocked by bankruptcies and scandals. Before this, Binance was actually chatting with the Justice Department to clear up some old complaints about evading sanctions against Iran.
Binance is like, "Hey, we're on top of things! We overhauled our corporate governance in 2021 and brought in big shots to change how we roll." They're pretty proud of their "know your customer" protocols, which they claim are as good as any traditional bank. They've got a zero-tolerance policy for anything sketchy.
But, the thing is, Binance has already been juggling a bunch of investigations. They're dealing with the Internal Revenue Service, federal prosecutors, and the Securities and Exchange Commission. Despite all this, Binance insists they're taking their legal obligations seriously and working with regulators and law enforcement.
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