Binance News: The world’s largest cryptocurrency exchange has finally responded to the severe criticism and concerns about its operations that have been raised by top U.S. senators, notably Elizabeth Warren. Binance has recently found itself in a sticky situation as a result of increased regulatory scrutiny over crypto companies operating in the country.
Binance Responds To Allegations
Patrick Hillmann, Chief Strategy Officer at Binance, outlined the company’s efforts to expand its compliance program team in a letter that went 14 pages long and was obtained by leading media outlets. However, Hillmann offered very few specifics regarding the company’s financial situation.
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The response did not offer a significant amount of the material that legislators requested in their letter dated March 1 in which they referred to Binance as a “hotbed” of criminal behavior. Instead, in his statement, Hillmann noted that the Binance exchange is currently placing a high priority on regulatory compliance and that Binance and Binance.US “are different entities,” despite what certain public reportage may have suggested.
Earlier, Hillmann had admitted the existence of compliance holes in its budding years which have since been closed and that the firm wishes to settle down with the regulators.
Binance’s Regulatory Crackdown
According to recent reports, information on the finances and users of both Binance and its US subsidiary has already been shared with the relevant authorities. The senators are expected to engage with regulators to obtain and review the submitted documents. The office of Senator Marshall said that it had obtained a response from Binance.US and that it was analyzing the content of the letter.
As reported earlier on CoinGape, Elizabeth Warren, Chris van Hollen, and Roger Marshall, who are all members of the Senate Banking Committee, had penned a letter to both Binance and Binance.US inquiring about their business practices. The three politicians alleged that Binance and its connected businesses had actively eluded authorities, shifted assets to criminals and sanctions evaders, and obscured basic financial information from its clients and the public.
In light of this particular Binance news, the exchange’s native token, BNB, has fallen victim to significant FUD. And, as things currently stand, BNB’s price is changing hands at around $341.23, which represents a 1% drop in the past one hour, compared to a gain of 2.53% over the previous 24 hours.
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Pratik has been a crypto evangelist since 2016 & been through almost all that crypto has to offer. Be it the ICO boom, bear markets of 2018, Bitcoin halving to till now – he has seen it all.
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This article has been originally published at: https://coingape.com/binance-news-finally-responds-to-concerns/