Binance undergoes investigation in money laundering and tax offences
Cryptocurrency exchange firm Binance Holdings Ltd. is undergoing investigation by the Justice Department and Internal Revenue Service, embroiling the world’s largest cryptocurrency exchange in U.S. efforts to eradicate illicit activity that’s flourished in the red-hot but mostly unregulated market, reported Bloomberg.
As part of the inquiry, officials who are investigating money laundering and tax offenses are looking for information from individuals with knowledge of Binance’s business, according to people with knowledge of the matter requesting anonymity because the probe is confidential.
Binance has leap-frogged rivals since it was founded in 2017. The company is headed by Changpeng Zhao, charismatic tech executive who enjoys promoting tokens on Twitter and during media interviews.
The company, like the industry it works in, has managed to succeed majorly outside the scope of government oversight. Binance is incorporated in the Cayman Islands and has an office in Singapore but says it doesn’t have single corporate headquarters.
