Binance fires back at Reuters’ money laundering allegations

Crypto trade Binance revealed a prolonged response to an article published by Reuters that claims that the trade has been a “hub for hackers, fraudsters and drug traffickers,” saying that there’s not less than “$2.35 billion in illicit funds” laundered inside the trade. 

In a weblog put up, Binance addressed the problem and famous that the article’s allegations are usually not solely unfaithful however are additionally makes an attempt by sure events to “mislead most people” by spreading disinformation. Binance wrote:

“We extremely recommend you ignore these authors and pundits who cherry-pick knowledge, depend on conveniently unverifiable “leaks” from regulators, and feed into the cult of crypto paranoia for fame or monetary achieve. As a substitute, simply have a look at the info.”

The trade additionally identified that conventional finance platforms are extra tainted with illicit funds than crypto, which is clear in nature. Furthermore, the trade cited statistics from the United Nations that 2%–5% of fiat cash is related to illicit actions.

Lastly, inside the weblog put up, Binance revealed its e mail correspondence with Reuters. This consists of Binance’s full responses to Reuter’s inquiries earlier than it revealed the article that criticized Binance.

Associated: Binance Labs’ $500M fund to catalyze crypto, Web3, blockchain adoption

On Monday, Reuters revealed a particular report claiming that the Binance exchange is involved in money laundering involving illicit funds within the billion. From funding fraud and darknet dealings to weak Know Your Buyer (KYC) and Anti-Cash Laundering protections, the media outlet laid down its critique of the trade.

Again in February, the exchange also faced an investigation from the USA Securities and Alternate Fee (SEC) over the trade’s relationship with market-making companies Sigma Chain AG and Benefit Peak, which have interaction within the shopping for and promoting of digital belongings on the Binance.US trade.