US Regulators Sue Binance and CEO Over Regulatory Violations ⚖️

US Regulators Sue Binance , and Its CEO.
The Verge reports that the Commodity Futures Trading Commission (CFTC) filed a lawsuit against Binance and CEO Changpeng Zhao on March 27.
In addition to allegedly having an "ineffective
compliance program," the CTFC claims Binance
"knowingly" violated U.S. trading and derivatives laws.
The company's former chief of compliance, Samuel Lim, has also been charged with allegedly “aiding and abetting Binance’s violations through intentional conduct that undermined Binance’s compliance program.”.
The CTFC claims that the responsible parties
"failed to properly supervise Binance's activities" which "actively facilitated violations of U.S. law.".
The Verge reports that Binance has previously been criticized about where the company is actually located, which the lawsuit also addresses.
Binance’s reliance on a maze of corporate entities to operate the Binance platform is deliberate;
it is designed to obscure the
ownership, control, and location
of the Binance platform, Via the CTFC's lawsuit.
Binance is so effective at obfuscating its location and the identities of its operating companies that it has even confused its own Chief Strategy Officer, Via the CTFC's lawsuit.
CFTC Chair Rostin Behnam
also issued a statement.
For years, Binance knew they were violating CFTC rules, working actively to both keep the money flowing and avoid compliance, Rostin Behnam, CFTC chair, via statement.
This should be a warning to anyone in the digital asset world that the CFTC will not tolerate willful avoidance of U.S. law, Rostin Behnam, CFTC chair, via statement