Binance Compliance Official Discusses Efforts to Keep North Koreans Off Exchange at Consensus 2023

Binance Keeps North Koreans Off Crypto Exchange, Compliance Official Says

AUSTIN, Texas – Binance, the largest crypto exchange by trading volume, has successfully kept North Koreans off its platform, according to a senior compliance official speaking at CoinDesk’s Consensus 2023 event.

Tigran Gambaryan, head of financial crime compliance at Binance, revealed that the exchange’s efforts have been effective in deterring North Korean users. “We kicked their ass enough that they’re actually able to recognize that Binance was not the place for them,” Gambaryan said. He emphasized the exchange’s commitment to compliance, with a 700-member team addressing 1,300 law enforcement requests weekly.

The U.S. Treasury Department recently sanctioned three North Korean individuals for supporting the Lazarus Group, a hacking team known for crypto thefts. Binance, statistically prone to being used by bad actors, hired Gambaryan in 2021 to strengthen its compliance measures.

In a separate development, the U.S. Commodity Futures Trading Commission (CFTC) sued Binance, its founder Changpeng Zhao, and other entities for allegedly offering unregistered crypto derivatives to U.S. customers. The lawsuit accuses Binance of willfully evading U.S. laws.

Despite regulatory challenges, Binance’s U.S. unit terminated a deal with crypto lender Voyager Digital and lifted restrictions on Russian citizens. Gambaryan expressed concerns about nation-state bad actors and pig butchering scams targeting crypto investors.

As Binance continues to navigate regulatory scrutiny, its efforts to enhance compliance and security remain in the spotlight. Stay tuned for more updates on the evolving crypto landscape.