• Send Us A Tip
  • Calling all Tech Writers
  • Advertise
Monday, June 16, 2025
  • Login
  • Register
TechStory
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to
No Result
View All Result
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to
No Result
View All Result
TechStory
No Result
View All Result
Home Crypto

Binance’s documents revealed its plan to escape from the US scrutiny

by Om Chaturvedi
March 7, 2023
in Crypto
Reading Time: 2 mins read
0
Binance's documents revealed its plan to escape from the US scrutiny

Credits: ILM

TwitterWhatsappLinkedin

cryptocurrency exchange Binance has once developed a plan to avoid the regulatory scrutiny and prosecution by the U.S. authorities. This was the time back in 2019 when crypto exchange Binance started its American entity Binance.US. Back then, the crypto exchange operated majorly from servers based in China and Japan.

You might also like

Vietnam’s New Digital Technology Law: Legalizing Crypto Assets for the Future

MetaMask Token on the Horizon? ConsenSys Charts Strategic Token Launch Path

Trump’s Crypto, Golf & Licensing Bonanza: Over $600 Million in 2024 Earnings

However, 20% of its customers were in the United States where the authorities had singled an impending crackdown on the unregulated players in the crypto space. In a private chat seen by WSJ, a Binance executive warned colleagues that any lawsuits from US regulators would be like “nuclear fall out” for Binance’s business.

Binance execs' texts, documents show plan to avoid US scrutiny
Credits: – BusinessToday

Fearing the threat of prosecution, Binance set out a plan of neutralising US authorities from 2018 to 2020, as per the texts and documents accessed by the Wall Street Journal. The strategy involved building a dedicated American platform Binance.US, which would license Binance’s technology and brand but otherwise would appear wholly independent of Binance.com. This would shield the global exchange from US regulator’s scrutiny while keeping the American users separate.

Binance developers in China maintained the software code that supported Binance.US users’ digital wallets, potentially giving Binance access to U.S. customer data, the WSJ reported.

Since 2020, the Department of Justice and Securities and Exchange Commission have been investigating Binance’s relationship to Binance.US, the report said, citing subpoenas and people familiar with the matter. If U.S. regulators determine that Binance has control over its U.S. entity, they could claim the power to police Binance’s entire business.

Leaked document details Binance plan to avoid U.S.  regulatory scrutiny
Credits: The Block

In an emailed statement to Reuters, a Binance spokesperson said, “we have already acknowledged that we did not have adequate compliance and controls in place during those early years…we are a very different company today when it comes to compliance.” Binance.US, the SEC and DOJ did not immediately respond to Reuters’ requests for comment.

Binance is under heightened scrutiny as three U.S. senators this week asked the giant cryptocurrency exchange and Binance.US for information about their regulatory compliance and finances. Reuters has reported that Binance.US was created as a de facto subsidiary in 2019 to draw the scrutiny of U.S. regulators away from Binance.com. (Reporting by Akriti Sharma in Bengaluru; Editing by Richard Chang and Diane Craft)

Binance, one of the world’s largest cryptocurrency exchanges, developed a plan to avoid the threat of prosecution by U.S. authorities as it started an American entity in 2019, the Wall Street Journal reported on Sunday.

Binance was considering to hire Gary Gensler before his appointment as the chief of the U.S. Securities and Exchange Commission (SEC). Back in 2018, Gary Gensler conducted meetings with former Binance venture arm head Ella Zhang, and Harry Zhou. Zhou wrote: “I observe that while Gensler declined advisor-ship, he was generous in sharing license strategies”.

Tags: BinanceUS
Tweet54SendShare15
Previous Post

Meta Platforms and Google Challenge South Korean Fine for Illegal Data Collection

Next Post

Top 10 best electric vehicles company in US

Om Chaturvedi

Om is a final year Engineering student in Panjab University, Chandigarh. Content Writer by Choice. Special Interest in Crypto, Metaverse and AI. Three Years of Experience in writing and ambitious to bring change with Pen & thoughts.

Recommended For You

Vietnam’s New Digital Technology Law: Legalizing Crypto Assets for the Future

by Anindya Paul
June 15, 2025
0
Vietnam

Vietnam took a historic step on June 14, 2025, when its National Assembly approved the Law on Digital Technology Industry. This groundbreaking legislation officially legalizes crypto assets and...

Read more

MetaMask Token on the Horizon? ConsenSys Charts Strategic Token Launch Path

by Anindya Paul
June 15, 2025
0
MetaMask

Introduction After years of anticipation, MetaMask users may finally have cause for optimism. The Ethereum wallet, long the go-to gateway for decentralized applications, hasn't offered any token incentives....

Read more

Trump’s Crypto, Golf & Licensing Bonanza: Over $600 Million in 2024 Earnings

by Anindya Paul
June 15, 2025
0
Donald Trump

Washington, June 14, 2025 - A financial disclosure just released shows that former President Donald J. Trump disclosed over $600 million in income for the 2024 calendar year—largely...

Read more
Next Post
Top 10 best electric vehicle companies in US

Top 10 best electric vehicles company in US

Please login to join discussion

Techstory

Tech and Business News from around the world. Follow along for latest in the world of Tech, AI, Crypto, EVs, Business Personalities and more.
reach us at [email protected]

Advertise With Us

Reach out at - [email protected]

BROWSE BY TAG

#Crypto #howto 2024 acquisition AI amazon Apple bitcoin Business China cryptocurrency e-commerce electric vehicles Elon Musk Ethereum facebook flipkart funding Gaming Google India Instagram Investment ios iPhone IPO Market Markets Meta Microsoft News NFT samsung Social Media SpaceX startup startups tech technology Tesla TikTok trend trending twitter US

© 2024 Techstory.in

No Result
View All Result
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to

© 2024 Techstory.in

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?