Binance CEO Denies Regulatory Rumors in France, Labels Them “FUD”
In a recent series of tweets, Binance CEO Changpeng Zhao, commonly known as CZ, addressed and swiftly dismissed rumors surrounding the company’s regulatory activities in France. Referring to them as “FUD,” an acronym frequently used in the crypto community to signify fear, uncertainty, and doubt, CZ sought to clarify the situation and shed light on the nature of the regulatory visit.
The speculations arose following reports that Binance, the world’s largest cryptocurrency exchange and home to the fourth largest cryptocurrency by market cap, was under investigation by French authorities for alleged illegal practices, including potential money laundering. CZ responded to these allegations by stating that surprise on-site inspections of regulated businesses are commonplace in France, extending beyond banks to now include cryptocurrency entities.
4. FUD.
In France, surprise (no advanced notice) on-site inspections of regulated businesses are the norm, for banks, and now for crypto too.
The surprise visit for Binance France happened a couple of weeks ago. It’s not “news”. Binance France cooperated fully.
Binance also… https://t.co/xdbLc5jXBW
— CZ 🔶 Binance (@cz_binance) June 16, 2023
The surprise visit to Binance France occurred a couple of weeks ago, and CZ emphasized that it was not recent news. He assured the public that Binance France fully cooperated with the regulatory authorities during the inspection. CZ further revealed that other well-known crypto businesses in Paris had also undergone similar inspections, highlighting that this was not an isolated incident targeting Binance alone.
Undeterred by the swirling rumors, CZ reaffirmed Binance’s commitment to its flagship center in Europe, Binance France. The company remains dedicated to operating within regulatory frameworks, ensuring compliance with local laws and industry standards.
To clarify the situation, Binance issued a separate tweet echoing CZ’s sentiments. The company emphasized that on-site visits by regulators and inspectors are part of the regulatory obligations imposed on all financial institutions in France. Binance acknowledged having undergone an on-site visit by the relevant authorities the previous week and reiterated its full cooperation, fulfilling its obligations accordingly.
Binance reiterated its commitment to working closely with regulators and law enforcement agencies on all ongoing compliance requirements, maintaining the highest standards. The company emphasized its significant investments in collaborating with law enforcement globally and vowed to abide by all laws in France, just as it does in every market where it operates.
While refraining from commenting on the specifics of ongoing law enforcement or regulatory investigations, Binance assured its users that their information is held securely and only provided to government officials upon receipt of documented and appropriate justifications.
Read more:
- Binance Under Scrutiny In France For Illegal Operations
- Binance CEO Denies Rumors Of Bitcoin Sell-Off Amidst SEC Lawsuit