US’s financial watchdogs look into Binance as they get a whiff of illegal trading activities

The citizens of the US have been subject to stringent laws with regard to crypto. This had further caused crypto platforms to set up shops exclusively for the citizens of the United States of America. Despite doing so, the world’s largest cryptocurrency exchange, Binance seemed to be shown in a bad light as regulators of the country have started an investigation.

In a recent report, it was revealed that the Internal Revenue Service, as well as the Department of Justice of America, were probing Binance Holdings Ltd. While the watchdogs did not announce or reveal any wrongdoing, they are reportedly yearning for information regarding illegal transactions carried out by someone from the United States of America.

US regulators dig deep into Binance; No wrongdoing found

While Binance has been time and again subject to random investigations, the exchange continues to maintain a clean slate. The exchange even went on to roll out, Binance.US, a platform just for the citizens of America. This did not seem to have stopped the regulators of the country from probing the exchange.

Addressing the latest news, Jessica Jung, the spokeswoman of Binance told Bloomberg,

“We take our legal obligations very seriously and engage with regulators and law enforcement in a collaborative fashion. We have worked hard to build a robust compliance program that incorporates anti-money laundering principles and tools used by financial institutions to detect and address suspicious activity.”

Additionally, CZ, suggested that this was nothing but FUD. Retweeting the Bloomberg report, Binance stated,

“We have a strong track record of assisting law enforcement agencies around the world, including in the United States.”

Amidst this, the crypto market was seen exerting extreme volatility. While Bitcoin [BTC] dropped down below $50K, the other coins followed. The market cap of the king coin also took a hit as it slipped below $1 trillion. Binance coin [BNB] followed suit as its price slumped down to $598.

Sahana Kiran: Experienced Journalist with a demonstrated history of working in the online media industry. Skilled in Photography, Feature Writing, Journalism, Online Journalism, and Web Content Writing. Strong media and communication professional with a Bachelor of Arts - BA focused in Journalism