French authorities have launched a judicial investigation into Binance, the world's largest cryptocurrency exchange, citing allegations of money laundering, tax fraud, and illegal operations, some linked to drug trafficking. The probe spans offences from 2019 to 2024, including violations in France and across the European Union, reads a Khaleej Times report.
Complaints from users, who reported financial losses due to misleading information and unlicensed operations, triggered the investigation. Binance denies the allegations, calling them outdated, and highlights strides in anti-money laundering (AML) practices and Know-Your-Customer (KYC) compliance.
Binance founder Changpeng Zhao, previously sentenced in the U.S. for money laundering violations, is entangled in additional lawsuits worldwide. This includes U.S. allegations of selling unregistered tokens and Australian accusations of misclassifying retail customers as wholesale clients.
Global regulators warn that cryptocurrencies are increasingly exploited for criminal activities, with France's case highlighting ongoing scrutiny of the crypto industry, which has recently rebounded amid renewed investor interest despite its history of scandals.
Bd-pratidin English/ Jisan
