Binance Responds to CFTC Lawsuit, Pledges to Cooperate with Global Regulators
Binance, one of the world's largest cryptocurrency exchanges, has responded to the lawsuit filed against them by the Commodity Futures Trading Commission (CFTC), stating their commitment to regulatory compliance and continued cooperation with authorities around the world.
Investments in Compliance: Over the past two years, Binance claims to have made significant investments in compliance, including increasing their compliance team from 100 to 750 personnel, with almost 80 having prior law enforcement or regulatory agency experience. They have also spent $80,000,000 on external partners, including vendors for KYC, transaction monitoring, market surveillance, and investigative tools.
Three Lines of Defense: Binance claims to have implemented a robust "three lines of defense" approach to risk and compliance, which includes mandatory KYC for all users worldwide, country blocks for US residents, blocking log-ins from US IP addresses, and preventing deposits and withdrawals from US banks for credit cards.
Measures to Ensure No US Users: Binance claims to have taken measures to ensure they do not have US users active on their platform, including blocking anyone identified as a US citizen, regardless of their location, and blocking log-ins from devices using a US cellular provider.
Conclusion: Binance has pledged to continue collaborating with regulators to develop a clear and thoughtful regulatory regime while protecting their users. They claim to have made significant investments in compliance and implemented a robust "three lines of defense" approach to risk and compliance.
Hey, it's CryptoPatel here!
I'm passionate about providing you with the latest insights and analysis on the world of cryptocurrencies.
If you enjoy my content and want to show your support, please like, share, and follow me for more high-quality updates.
Thank you for your support, and let's continue to stay connected for more exciting content!
LIKE ❤️
Share ⏩
Follow 🤝
