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So we know Binance and it’s CEO popularly known as CZ

Well you know there’s this thing of legitimate rich men always being involved in one fraudulent case or the other, Binance and it’s CEO have been under so much heat since the year begun🤔

Might be just false allegations, but even if they are false, why so many enemies?

Now Binance is being sued😮‍💨

Read more below 

Binance has been slapped with a civil suit accusing the world’s largest digital asset exchange of taking a “calculated, phased approach” to violate U.S. commodities regulations.

On Monday, the Commodity Futures Trading Commission (CFTC) filed a civil suit in the U.S. District Court for the Northern District of Illinois against multiple Binance entities, as well as its founder Changpeng ‘CZ’ Zhao and its former chief compliance officer Samuel Lim.

The CFTC says the accused “violated core provisions” of the Commodity Exchange Act (CEA) and CFTC regulations governing commodities trading by, amongst other crimes, offering unregistered derivatives products to U.S. customers. The suit seeks disgorgement, civil monetary penalties, permanent trading and registration bans, and a permanent injunction against further such violations.

CFTC Chairman Rosnim Behnam said: “For years, Binance knew they were violating CFTC rules, working actively to both keep the money flowing and avoid compliance.” Gretchen Lowe, deputy director of the CFTC’s enforcement division, added that “the defendants’ own emails and chats reflect that Binance’s compliance efforts have been a sham and Binance deliberately chose – over and over – to place profits over following the law.”

While we encourage you to read the entire suit, our coverage will focus on Lowe’s reference to the defendants’ communications. Without disclosing their methods, the CFTC somehow managed to obtain a litany of internal Binance communications, including private chats and the contents of CZ’s own phone.

The suit notes that these communications show that CZ is “responsible for all major strategic decisions, business development, and management of the Binance enterprise,” including “whether and how to implement and enforce anti-money laundering (AML) controls and Know Your Customer (KYC) procedures.”

CZ’s hands-on involvement isn’t limited to high-level decisions. The suit cites him personally approving a $60 office furniture expense in January 2021. The CFTC spells it out plainly: “Zhao answers to no one but himself.”

Late Monday, CZ issued a blog postslamming the CFTC’s “unexpected and disappointing civil complaint,” which he claimed contains “an incomplete recitation of facts.” The rest of the post is Binance’s standard ‘Non-compliance? Us? Never!’ schtick, insisting that its compliance efforts are second to none, yada yada yada.

But on-chain data shows plenty of Binance customers frantically hammering the ‘withdrawal’ button on fears that other federal agencies—including those able to file criminal charges—may be prepping their own bombshell releases.

One possible impact of Monday’s news was a U.S. federal court temporarily overruling a bankruptcy court’s decision to permit the acquisition of Voyager Digital’s assets to Binance.US. Late Monday, U.S. District Judge Jennifer Rearden granted the U.S. Department of Justice’s emergency application for a stay of the Bankruptcy Court’s confirmation order for the DoJ to pursue its appeal of the order.

CFTC sues Binance, CZ for 'calculated' violations of US regulations The CFTC says the exchange "violated core provisions" of the CEA and CFTC regulations governing commodities trading by offering unregistered derivatives products to U.S. customers.

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