Representatives of the exchange published a piece in which they described their efforts to combat cybercrime over the past year

​Binance denies information from Reuters about accusations of violating US sanctions and money laundering

12.12.2022 - 15:45

789

2 min

What’s new? Binance representatives have denied the information in a Reuters article that US prosecutors could charge the crypto exchange and its leadership with sanctions violations and money laundering. The company said that the agency’s journalists are “attacking our incredible law enforcement team” and published a blog post describing the measures taken in this direction over the past year.

What does the blog say? Since November 2021, the exchange’s team has increased its security and compliance staff by more than 500% and responded to more than 47 000 law enforcement requests. It is noted that the average response time was three days, which is much shorter than traditional financial institutions. The blog stressed that the faster response time increases the chance of tracing and preserving funds. In addition, in August, the exchange launched a system to assist government regulators and law enforcement agencies called the Law Enforcement Request System (LERS). Government representatives will be able to send requests to the platform to provide information about users needed as part of investigations.

Representatives of the exchange participated in 70 anti-cybercrime workshops with law enforcement agencies around the world. Binance also became the first blockchain and crypto company to join the National Cyber-Forensics and Training Alliance (NCFTA).

These accomplishments are just a small part of the security and compliance work done by the Binance team. Much of it is hidden from scrutiny and rarely acknowledged by the media or general public, Binance stressed.

According to Reuters journalists’ data, published throughout 2022, Binance did not conduct all the necessary checks on users and hid the information from regulators. In early June, the publication reported that more than $2,35 billion has been laundered through the platform since its launch in 2017. In July, journalists found out that the exchange was conducting transactions of Iranian clients until September 2021, despite the US sanctions.

Subscribe to Getblock Magazine and stay up to date with the latest news from the world of cryptocurrencies and the digital economy