Binance,
one of the world’s largest crypto exchanges, has faced some compliance
“gaps” in the past and expects to pay fines to settle with US
regulators, Patrick Hillmann, the company’s Chief Strategy Officer (CSO),
admitted in a recent interview.
According
to Hillmann, Binance rose rapidly in a decentralized cryptocurrency environment
and was developed by software engineers who were far from familiar with the intricate
regulatory rules related to anti-money laundering and terrorist financing. He
talked about small compliance “gaps” that might occur over the years.
However, they have either already been patched or are currently being fixed.
Despite this, it expects US regulators to impose financial penalties on the
company for past actions.
Binance is
currently working closely with regulators, including the Department of Justice
(DoJ) and the Commodity Futures Trading Commission (CFTC), to determine the
immediate remedies to be taken first. The DoJ is investigating Binance for
potential violations of US money laundering laws. Meanwhile, the CFTC is
conducting a separate investigation into Binance’s offering of crypto
derivatives to customers in the US without obtaining the necessary licenses.
Binance’s
CSO does not know how high the potential fines could be but admits that talks
with regulators are moving in the right direction. However, he makes no secret that
the current time for the cryptocurrency…
