According to a report published on Thursday by Reuters, which reported a written request, United States federal prosecutors requested that the crypto exchange Binance turn over internal documents related to its money-laundering checks and communication involving CEO Changpeng “CZ” Zhao in late 2020.
According to the report, the Justice Department requested that the company turn over messages that were exchanged between Zhao and other executives on matters concerning the identification of illegal transactions and the acquisition of customers in the United States.
According to the report, the authorities also searched for any company records that contained instructions requesting that “documents be destroyed, altered, or removed from Binance’s files” or “transferred from the United States.”
Since quite some time, U.S. authorities have been keeping a close eye on the cryptocurrency exchange known as Binance. Specifically, the Commodity Futures Trading Commission (CFTC) is investigating allegations that Binance engaged in insider trading as well as market manipulation.
CZ mentioned in a tweet that his “chat messages are semi-public anyway,” and he meant it.
Another story today about a crypto company receiving an inquiry from a regulator. A request to VOLUNTARILY share certain information back in 2020, which we did. Important for the industry to build trust with regulators.
My chat messages are semi-public anyway. pic.twitter.com/h35Xd4tZhf
— CZ 🔶 Binance (@cz_binance) September 1, 2022
“As is well documented, regulators from around the world are reaching out to the most important crypto exchanges in an effort to gain a deeper exchange of our industry. This is a standard procedure for any organisation that is regulated, and we work regularly with regulatory agencies to address any questions or concerns that may remain “a representative for Binance was quoted as saying.
