The Internal Revenue Service and the Department of Justice are investigating Binance, the world’s biggest cryptocurrency exchange company, according to Bloomberg.

Officials who investigate money laundering and tax offenses are specifically investigating Binance, according to The Verge.

Per BloombergU.S. Commodity Futures Trading Commission is investigating whether or not Binance allowed for Americans to make illegal trades on the platform.

  • The CFTC is investigating whether or not Americans were allowed to “buy derivatives linked to digital tokens,” which can only be purchased “from firms registered with the CFTC,” The Verge reports.

Did Binance respond?

Binance has responded to the investigation, saying it is taking the investigation seriously, according to Fox Business.

  • “We take our legal obligations very seriously and engage with regulators and law enforcement in a collaborative fashion,” a spokesperson for Binance said, according to Fox Business.

    The Cryptocurrency analytics firm Chainalysis reported in 2019 that about $756 million of the $2.8 billion in criminal transactions made through Bitcoin were done over Binance. 

LEAVE A REPLY

Please enter your comment!
Please enter your name here