Binance, the giant of crypto exchanges, is embarking on big changes in its operations. One of these changes involves ending its ties with Advance Cash. This Central American company facilitated ruble dealings for the exchange’s users.
In more detail, a recent Wall Street Journal report pointed out that Binance communicated this intent to end ties with Advance Cash to a client via email. Yet, Advance Cash, headquartered in Belize and known for handling cash movements for digital currency participants, said they had not been informed about this decision.
On another note, Advance Cash’s services comprise accepting and releasing Russian rubles. Importantly, this relationship enabled users to move money from sanctioned Russian financial institutions directly to Binance.
In a twist of events, the popular cryptocurrency marketplace is navigating a complex rule framework. It’s stepping back from different payment platforms, notably in Europe and America. Key motivators include the current probe by the U.S. Department of Justice. They are investigating the crypto leader’s possible involvement in money laundering, dodging sanctions, and scams.
SEC & CFTC Clash With Binance In Ongoing Legal Battle
In light of this, Binance halted peer-to-peer dealings with banks sanctioned by Russia. They plan to transition their users to their local branch, CommEx. The exchange hit a bump when firms like Paysafe stopped encouraging cash deposits and withdrawals. But there’s a silver lining for Binance France. They successfully extended their alliance with Paysafe.
Binance, a large cryptocurrency exchange, is being closely examined by regulators from the United States. The SEC, the Securities and Exchange Commission, complained to Binance Global, the U.S. division of Binance, and the CEO, Changpeng Zhao. They claim all three breached federal securities laws. Changpeng Zhao disagrees, aiming to toss out the lawsuit and disputing the SEC’s jurisdiction.
On the other hand, the U.S. Commodity Futures Trading Commission (CFTC) has also jumped into the situation. The CFTC has received pushback from both Binance and Changpeng Zhao. Their lawyers are arguing against the CFTC’s claims, mentioning that the regulator’s approach, especially concerning their evasion-prevention allegations, is unusual.
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