HomeBinanceCanadian Regulator Fines Binance C$6 Million for Breaching Financial Regulations

Canadian Regulator Fines Binance C$6 Million for Breaching Financial Regulations

-


Binance Fined $4.3 Million by Canadian Regulator for Financial Violations

Binance, one of the world’s largest cryptocurrency exchanges, has been hit with a hefty C$6 million ($4.3 million) fine by the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) for breaching financial regulations. The regulatory action comes as part of a series of legal challenges faced by the exchange in various jurisdictions.

According to FINTRAC, Binance failed to register as a foreign money services business despite being given multiple opportunities to do so. Additionally, between June 1, 2021, and July 19, 2023, the exchange failed to report 5,902 cryptocurrency transactions exceeding $10,000 along with their associated know-your-customer (KYC) information.

This latest fine adds to Binance’s woes, as just six months ago, the exchange agreed to pay U.S. regulators a massive $4.3 billion fine for violating anti-money laundering laws. Former Binance CEO and co-founder Changpeng “CZ” Zhao was also sentenced to four months in U.S. prison for failing to establish an adequate KYC/anti-money laundering program at the exchange.

In addition to the Canadian and U.S. legal troubles, Binance is facing challenges in Nigeria, where it has been accused of money laundering and tax evasion. An American Binance executive, Tigran Gambaryan, was arrested and charged with similar crimes. The exchange’s current CEO, Richard Teng, called for Gambaryan’s release and revealed that a significant cryptocurrency payment was requested to make the charges disappear.

These regulatory actions against Binance underscore the increasing scrutiny faced by cryptocurrency exchanges as governments and financial regulators worldwide aim to combat illicit activities facilitated by digital assets. Compliance with KYC and AML regulations has been a recurring issue for Binance, highlighting the importance of adhering to financial regulations in the cryptocurrency space.

LATEST POSTS

Bitcoin’s price could potentially surge to $130,000 by September 2025 following the halving event.

Bitcoin (BTC) Bull Market Cycle Peak Predicted to Reach $130,000 to $150,000 by September, Says Trader Peter Brandt Crypto trader Peter Brandt predicts that Bitcoin...

Slow Decentralization of Ethereum Layer 2s Exposed by Linea Blockchain Halt

Ethereum Layer-2 Blockchain Linea Halted After Hack: Importance of Decentralization, Says Matter Labs CEO The recent hack on Ethereum layer-2 blockchain Linea has sent shockwaves...

Doric Blockchain Joins as a Sponsor for the 5th Edition of Paris Blockchain Week at Le Carrousel du Louvre

Highlights from Paris Blockchain Week 2024: Doric Network's Success and New Foundation Announcement The 5th edition of Europe's largest cryptographic event, Paris Blockchain Week, recently...

TON and RNDR Experience Surge of Over 13% as Bitcoin (BTC) Bounces Back to $63K

Alternative Cryptocurrencies Shine Bright Amid Bitcoin Rebound: TON and RNDR Lead the Way Alternative cryptocurrencies are making waves in the crypto market as positive news...

Most Popular