Binance is the largest crypto exchange in the world and many billions are sent on the trading platform every day. According to the news agency Reuters Binance would not always have followed the rules properly in recent years. They argue that the exchange served as a conduit for the laundering of at least $2.35 billion in illegal funds. Binance, meanwhile, has responded to the allegations and vehemently denies everything.
Reuters report on Binance
In an article that was released by Reuters yesterday, they are lashing out at Binance. Serious allegations are being made against the crypto exchange. The news agency analyzed court records, spoke to law enforcement and partnered with blockchain analytics firms Chainalysis and Crystal Blockchain to track down illicit funds on the exchange.
The conclusion reached by Reuters in their investigation was that between 2017 and 2021, at least $2.35 billion in illicit funds was laundered using the Binance trading platform.
Reaction Binance exchange
A response from Binance to the Reuters report was not long in coming. Meanwhile, several executives and even Binance CEO Changpeng Zhao (CZ) have responded to the vehement allegations. According to them, the report completely misses the point and is based entirely on outdated, irrelevant information.
According to Tigran Gambaryanthe head of intelligence at Binance, it is clear that Reuters has deliberately put aside factual information in order to push through a particular agenda. According to him, it is abundantly clear that important information was deliberately omitted from the Reuters report.
“It’s something that completely disregards facts to convey an agenda.”
Binance CEO CZ was also unhappy with the report. He even indicates on Twitter that he believes the report an attack is from an external party. He does, however, state that he cannot prove this of course.
This Reddit thread pretty much summed it up.https://t.co/Zc2pWeyu3m
— CZ 🔶 Binance (@cz_binance) June 7, 2022
The Myth of Crypto Crime
In a message on their website Binance also makes it clear once again that money laundering within the crypto industry is completely insignificant compared to the traditional financial sector. According to Chainalysis, 0.15% of all crypto transactions would have something to do with money laundering. The UN states that between 2% and 5% of all fiat currency transactions are linked to illegal activity.