Binance US Refutes Reports Comparing It to Fraudulent Crypto Exchanges

Binance US has refuted reports that gully parallels betwixt it and “fraudulent exchanges that person gone bankrupt.” The U.S.-based crypto trading level stressed that “only Binance.US employees” person entree to its slope accounts, denying the allegation that planetary crypto speech Binance has “secret access.”

Clarifications by Binance US

Binance US, a U.S.-based cryptocurrency trading level affiliated with the planetary crypto speech Binance, has refuted reports that comparison it to fraudulent and bankrupt crypto exchanges. Binance and Binance US assertion that they are abstracted entities with antithetic absorption teams.

“There person been galore attempts to gully parallels betwixt Binance.US and fraudulent exchanges that person gone bankrupt,” the authoritative Twitter relationship for Binance US tweeted Thursday. “There is nary comparison,” the speech stressed and proceeded to supply immoderate grounds to enactment its claims.

Firstly, Binance US explained that its enactment is comprised of ex-employees of the U.S. Department of Justice (DOJ), the Securities and Exchange Commission (SEC), the Federal Bureau of Investigation (FBI), and the Federal Reserve Bank of New York (NY Fed). The speech detailed:

Our enactment squad is staffed with erstwhile DOJ, SEC, FBI, and NY Fed employees who are committed to operating a level that is harmless and abides by U.S. laws and regulations.

Binance US past addressed the allegation, archetypal published by Reuters, that Binance had “secret entree to a slope relationship belonging to its purportedly autarkic U.S. partner.” The work further alleged that implicit the archetypal 3 months of 2021, much than $400 cardinal flowed from the slope relationship of Binance US to Merit Peak Ltd., a trading steadfast managed by Binance CEO Changpeng Zhao (CZ).

“While determination was a market-making steadfast named Merit Peak that operated connected the Binance.US platform, it stopped each enactment connected the level successful 2021,” Binance US claimed. “We database our competitory and transparent marketplace shaper programme connected our website, which shows that firms reasonably vie for rebates.” The speech insisted:

Only Binance US employees person entree to Binance US slope accounts. Period.

In addition, Binance US assured the crypto assemblage that it does not marque usage of lawsuit funds, a taxable that is heavy scrutinized pursuing the illness of FTX, the speech that allegedly commingled lawsuit funds. Binance US emphasized:

Binance US has ne'er — and volition ne'er — commercialized nor lend retired lawsuit funds. Binance US ever maintains 1:1 reserves and is taxable to regular audits and regulatory reporting by authorities entities.

The SEC precocious took enactment against respective firms successful the crypto sector, including Kraken implicit its staking program, Paxos implicit its stablecoin Binance USD (BUSD) issuance, and Terraform Labs for defrauding investors. Last week, SEC Chairman Gary Gensler projected amending national custody rules to screen each crypto assets.

What bash you deliberation astir the clarifications provided by Binance US? Let america cognize successful the comments conception below.

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