Binance, the largest Bitcoin (BTC) and cryptocurrency exchange in the market, is the subject of investigation by authorities in at least four countries in the world located in Africa, Europe and South America.
Generally, this exchange house is accused of participating in scam schemes, tax evasion, money laundering and even terrorist financing.
The allegations against Binance have caused many investors to withdraw their funds from that exchange, fearing that it would eventually collapse. These investigations have raised concerns about the legality and transparency of Binance’s operations in many countries.
Which countries are investigating Binance?
In the recent period, between late 2022, 2023 and early 2024, there are at least four countries that are investigating Binance. These are:
Recently, in Nigeria, Africa, officials Two Binance executives were arrested upon arriving in that country, This comes amid investigations into allegations that the exchange operated illegally in the country.
In June 2023, the Nigerian Securities and Exchange Commission ordered the company to “immediately cease soliciting Nigerian investors to operate on its platform,” as reported by CryptoNoticias.
Nadeem Anjarwala, one of the officials arrested and criminally charged before Nigerian courts for tax evasion, He escaped from custody last Friday, March 22, According to local media, escaped He was then taken to a mosque for Ramadan prayers.
Another country that openly checks out Binance is the United States. Various government agencies, including the Securities and Exchange Commission (SEC), the Commodity Trading Commission (CFTC), and the Department of Justice, They turned their weapons against the largest Bitcoin exchanges.
Investigation against Binance in the United States led to the dissolution of its founder, Changpeng Zhao, He is also accused of participating in money laundering and fraud schemes. Offenses that may result in him spending more than a year behind bars.
The company was accused of violating federal securities laws by allowing unregistered securities offerings. Operating a stock exchange without authorisation. For this the United States imposed a fine of US $ 4.3 billion on Binance. One of the largest sanctions ever imposed by that country against a financial entity.
Zhao has not been sentenced yetIn fact, he is still waiting for his hearing. However, they are barred from leaving the country until the judge’s decision.
France is the third country to investigate the Binance exchange for various reasons. Since 2022, the European nation has investigated the company for “acts of illegal practice” as a digital asset service provider.
That country also checks Binance for serious money laundering, According to the Paris prosecutor’s office, this amounts to participating “in investment, concealment and conversion operations”.
The exchange itself confirmed that French authorities are investigating them. However he has declined to comment on the details of those investigations.
The last country that is testing the Binance exchange so far is Brazil. Officials of the South American giant included that company among the entities investigated for involvement in pyramid schemes.
According to US Congressman Alfredo Gaspar, “It is essential to understand Binance’s performance in the country and its relationship with companies that are legally liable for harming Brazilian consumers.”
Also, there is Binance exchange Investigated in brazil To help clients avoid stop orders Investing in cryptocurrency derivatives.
According to Rio country officials, That company continued to offer these products Despite the fact that the Securities and Exchange Commission issued a suspension order in 2020.
a trend?
Although not confirmed, it appears that there is a tendency to check Binance For concerns related to money laundering and other similar crimes.
Such a trend could spread, given that a verdict on Changpeng Zhao, accused of money laundering and fraud by US authorities, is still pending.
It will happen next April 30th When finally known the fate of Zhao, a businessman in the Bitcoin sector who continues to work for the sector despite the investigations and allegations against him.
