year 2022 Binance It has been a bumpy year for the stock market, with many news circulating. According to recent reports, US federal prosecutors have begun to investigate the stock market. The biggest source of this claim is the subpoena sent to multiple American hedge funds by the Washington West District in Seattle.
According to a report by The Washington Post, investment firms in the US have been invited by prosecutors to hand over records of their communications with Binance.
The Washington Post cites two people who reviewed subpoenas and spoke on condition of anonymity.
Binance director of strategy, Patrick Hillmann, told The Washington Post that Binance speaks “daily with almost every regulatory body around the world” but declined to comment specifically.
Koinfinans.com Former Ministry of Justice prosecutor specializing in cases related to digital assets, as we reported John GhoseHe told the Washington Post that prosecutors believe Binance is looking into whether it violated the Bank Secrecy Act, which requires financial institutions to verify the identities of their customers and flag suspicious activity.
Ghose also underlined that subpoenas may indicate that Binance is examining its relationship with US investors, but that this may not be a definitive reason.
“The basis of these accusations is whether there are US customers (…) If there are US customers, they may be accused of avoiding money laundering requirements.”
The head of one of the New York-based hedge funds that manages $2.5 billion in assets told The Washington Post that his firm trades on Binance through institutional assets outside the US. The fund manager reportedly said that despite Binance banning US citizens from its platform, “companies and citizens are very different.”