Binance admits compliance misalignment, but is now in discussions with US supervisory authorities

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Von Krypto News Österreich

Die führende Kryptowährungsbörse Binance hatte in den ersten Jahren nach ihrer Einführung im Jahr 2017 „Lücken“ bei der Einhaltung gesetzlicher Vorschriften, sagte Patrick Hillmann, Chief Strategy Officer (CSO) des Unternehmens, dem Wall Street Journal in einem Interview. Hillmann enthüllte, dass Binance bei der Umsetzung seiner Sicherheitsmaßnahmen, wie dem Know-Your-Customer (KYC)-Protokoll und den Anti-Money Laundering (AML)-Regeln zur Bekämpfung von Geldwäscheaktivitäten, Fehler gemacht hat. Binance räumt Lücken bei der Einhaltung gesetzlicher Vorschriften ein Der CSO gab auch bekannt, dass die Fehler, die seitdem behoben wurden, als Binance seine Sicherheitsprotokolle und seine Belegschaft verbesserte, zwei Jahre nach der Gründung des Unternehmens auftraten, während …
The leading cryptocurrency exchange Binance had "gaps" in compliance with legal regulations in the first years after its introduction in 2017, said Patrick Hillmann, Chief Strategy Officer (CSO) of the company, the Wall Street Journal in an interview. Hillmann revealed that Binance made mistakes in implementing his security measures such as the Know-Your Customer (KYC) protocol and anti-Money Lundering (AML) rules to combat money laundering activities. Binance gives gaps in compliance with legal regulations One of the CSO also announced that the mistakes that have been resolved since then improved his security protocol and his workforce, two years after the company was founded during ... (Symbolbild/KNAT)

The leading cryptocurrency exchange Binance had "gaps" in compliance with legal regulations in the first years after its introduction in 2017, said Patrick Hillmann, Chief Strategy Officer (CSO) of the company, the Wall Street Journal in an interview.

Hillmann revealed that Binance made errors in the implementation of his security measures, such as the Know-Your Customer (KYC) protocol and anti-Money Laundering (AML) rules to combat money laundering activities.

Binance gives gaps in compliance with legal regulations

The CSO also announced that the mistakes that have been resolved since then improved his security protocol and his workforce, two years after the company was founded, while it was pressing for a global expansion.

Hillmann blamed a lack of staff for the defects because the small team of the stock exchange was sown thinly and at that time focused on compliance, cybersecurity and expansion.

"This is an enormous burden. As a result, there were some gaps in our compliance system in the first two years," he said.

The manager of Binance also noticed that the company, although the stock exchange initially had few staff, closed the gap by expanding its compliance team.

The company has expanded its staff in more than 750 employees in the past two years. Said Hillmann Binance recently hired a new Chief Compliance Officer, Noah Perlman, a former Chief Operating Officer in the competing Stock Exchange Gemini.

Binance in conversations with US supervisory authorities

Hillmann also announced that Binance is currently making discussions with US supervisory authorities about a possible agreement in order to hire existing official investigations into his business activities in the country.

The US Justice Ministry (DOJ), the Internal Revenue Service (IRS), the Securities and Exchange Commission (SEC) and the Commodities Futures Trading Commission (CFTC) have dealt with Binance, its business structure and financial reserves for a few years.

The financial supervisory authorities, in particular the CFTC, began in March 2021 to determine whether the company has violated US laws by offering its products and services inhabitants of the country without proper approval.

later this year the raw material supervisory authority opened a further investigation by the company for claims on insider trade, which were triggered by a separate investigation by the DoJ in cooperation with the IRS.

Hillmann: Authorities are very cooperative

Hillmann said that Binance will be opened with the conversations with the not Regulator But the stock exchange can be asked to pay a penalty or even pay a higher price for the remedy.

"We just don't know. The regulatory authorities have to decide. It benefits our users very much. We just want to get it behind," he said.

of the CSO further explained that the company is "very confident and feels really good where these discussions go" and found that the authorities were "very cooperative".

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