India freezes digital assets WazirX, linked with Binance The developers of Shiba Inu have announced a new mobile game Binance received a subpoena over Elon Musk's refusal to buy Twitter The New York authorities fined the crypto platform Robinhood for $30 million North Korean hackers forge CVs to join U.S. crypto companies A new unknown investor bought bitcoins for $3 billion Binance employee claims loss of 90% of customers and billion dollars in revenue MetaMask users face a phishing attack Unknown hacked almost 8 thousands crypto wallets on Solana

Reuters: crypto giant Binance hides information from regulators and partners

Reuters: crypto giant Binance hides information from regulators and partners

Binance, the world's largest cryptocurrency exchange, intentionally conceals information from state regulators and partners while failing to be scrupulous in its internal checks on users. The Reuters news agency concluded that following an in-depth investigation.

Why is it so important?

  • This may affect the value of Binance assets due to the loss of investors' trust.
  • This could trigger a series of more severe inspections by regulators.

As the Reuters investigation reports, there have been at least four cases where Binance has refused to provide detailed reports to regulators and partners about its corporate structure and finances. Moreover, the management of the exchange often refuses to follow the recommendations of its own compliance department. Thus, the company entered the Russian and Ukrainian markets, despite assessing the risks as ‘Extreme’. Such a rating means that the company should not provide service to customers in those territories. However, according to Reuters, the score was manually changed, downgrading the countries rating to ‘High’. 

As a reminder, during 2021, regulators in such countries as the UK, Poland, Japan, Hong Kong, Italy, the Netherlands, and South Africa warned users or took measures to restrict the company's activities. However, that has not stopped Binance from expanding its operations, particularly in Bahrain, Indonesia, and the UAE.

0
Is there an error in the article?
To report