US authorities are investigating Binance for insider trading and market manipulation, according to sources reported by Bloomberg.
The investigation involves the Commodity Futures Trading Commission (CFTC), which is reportedly reaching out to witnesses.
The US Internal Revenue Service and Justice Department is also investigating possible money laundering on Binance’s platform according to the sources.
The CFTC and the Justice Department have reportedly been investigating the crypto exchange for months, however the firm hasn't been accused of wrongdoing and there is no guarantee of action.
A Binance spokesperson said to Bloomberg that the company has a "zero-tolerance" approach to insider trades, which includes ethical codes and security guidelines.
The crypto exchange is currently going through significant changes to management as it steps up to international regulatory scrutiny. Binance US appointed former Ant Group and Uber executive Brian Shroder to the role of president earlier this month after his predecessor Brian Brooks left, citing “differences over strategic direction”.
Binance has been supporting its US anti-money laundering (AML) scrutiny with senior hires. In August, the firm hired former US government criminal investigator Greg Monahan to lead its AML operations.
The Financial Conduct Authority (FCA) said last month that it is “not capable” of supervising Binance, claiming its “complex and high-risk financial products” - which allow consumers to place leveraged bets on cryptocurrencies - were “a significant risk to consumers”.
Latest News
-
Bank of England to swap emerging payments experts with NY Department of Financial Services
-
Mastercard agrees to $26m settlement in workplace pay bias case
-
Intesa Sanpaolo first Italian bank to buy bitcoin
-
ClearBank partners with Airwallex
-
Revolut chief exec lands ‘£350m windfall’ after share sale
-
Chainalysis acquires Alterya
Sanctions evasion in an era of conflict: Optimising KYC and monitoring to tackle crime
The ongoing war in Ukraine and resulting sanctions on Russia, and the continuing geopolitical tensions have resulted in an unprecedented increase in parties added to sanctions lists.
Achieving operational resilience in the financial sector: Navigating DORA with confidence
Operational resilience has become crucial for financial institutions navigating today's digital landscape riddled with cyber risks and challenges. The EU's Digital Operational Resilience Act (DORA) provides a harmonised framework to address these complexities, but there are key factors that financial institutions must ensure they consider.
Legacy isn’t the enemy: what FSIs can do to keep their systems up and running
In this webinar we will examine some of the steps FSIs have already taken to rigorously monitor and test systems – both manually and with AI-powered automation – while satisfying the concerns of regulators and customers.
Optimising digital banking: Unifying communications for seamless CX
In the digital age, financial institutions risk falling behind their rivals if they fail to unite fragmented communications ecosystems to deliver seamless, personalised customer experiences.
This FStech webinar sponsored by Precisely explores vital strategies to optimise cross-channel messaging through omnichannel orchestration and real-time customer data access.
This FStech webinar sponsored by Precisely explores vital strategies to optimise cross-channel messaging through omnichannel orchestration and real-time customer data access.
© 2019 Perspective Publishing Privacy & Cookies
Recent Stories