The U.S. CFTC (Commodity Futures Trading Commission) has filed a lawsuit against Binance and CEO Changpeng Zhao for allegedly violating trading regulations. The lawsuit was filed in the Northern District of Illinois.
Binance reportedly failed to meet its regulatory obligations, according to the CFTC, by not being able to properly register with the derivatives regulator. Since 2021, the crypto exchange has been the subject of a CFTC investigation.
In February, the exchange acknowledged that it would most likely face regulatory action in the U.S. and that it had already been working with regulators to alleviate some concerns.
Binance has additionally been investigated by the IRS (Internal Revenue Service) and federal prosecutors, who have questioned whether the exchange has indeed complied with the proper AML and KYC policies. Correspondingly, the U.S. SEC is also looking into whether Binance gave local traders access to unregistered securities.
However, not everyone is supportive of the actions taken by the likes of the CFTC and SEC, as with the recent failures of banks such as SVB (Silicon Valley Bank), many have instead started embracing crypto.
In fact, Cathie Wood believes Bitcoin will skyrocket in value if the trust in the traditional financial system continues to erode. The ARK Invest CEO claims that the decentralized nature of crypto and its scarcity will attract capital seeking a superior store of value to what has previously been available.
CFTC Sues Binance And Changpeng Zhao Over Regulatory Violations
Subscribe to the CryptoWeekly Newsletter
Get the top stories, funding deals, technical analysis, cryptocurrency jobs and much more delivered to your inbox, every Monday morning.
December 30,2024
Web3 Fundraising Deals - 24th To 30th December 2024
December 30,2024
The United States May Not Purchase Additional Bitcoin In 2025
December 30,2024
Crypto Community Bands Together To Challenge Controversial IRS Ruling
December 30,2024
Bitcoin Spot ETF Outflows Reach $388M
December 30,2024
Tether Continues To Struggle As Banks Look To Fill The Stablecoin Gap
December 29,2024
Bitcoin Floats Around $95K As Altcoins Stay In The Green
December 29,2024
Meme Coin Market Loses More Than $40B In December
December 28,2024
The Best Performing Cryptocurrency Assets Of 2024
December 28,2024
Crypto Investors Continue To Suffer As Hackers Steal Nearly $1.7B In 2024
December 27,2024
KULR Technology Buys 217 BTC After Getting Inspired By MicroStrategy
December 27,2024
Bitcoin Runes Under Threat By AI Agents And Meme Coins
December 27,2024