Investing.com - Financial Markets Worldwide
📢 The ProPicks AI strategy to watch when Tech rally slows down. It did 2X the S&P in July!Unlock AI Insight

Binance's Nightmare: DOJ Mulls Fraud Charges

Published 2023-08-02, 12:55 p/m
© Reuters. Binance's Nightmare: DOJ Mulls Fraud Charges
XRP/USD
-
BNB/BRL
-

U.Today - U.S. Department of Justice (DOJ) officials are contemplating fraud charges against the world's largest cryptocurrency exchange, Binance, but there are some concerns about potential consumer fallout and market instability, according to a by Semafor.

Federal prosecutors fear an indictment could trigger a run on the exchange, similar to the one which led to the bankruptcy of platform , and are exploring alternatives such as fines or non-prosecution agreements.

The predicament underscores the complex nature of crypto enforcement and regulation in the U.S., which currently exists in a legal gray area.

Binance and its founder, , have already been slapped with charges by the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission, alleging the operation of an unregistered exchange in the U.S. and manipulation of trades.

CZ remains unfazed

In a seemingly defiant response to the scrutiny, Zhao (commonly known as CZ), cryptically posted "4" on his social media profile. This is an oft-repeated reference to Binance Coin (BNB) maintaining its position as the fourth largest cryptocurrency by market cap.

BNB is still above XRP

Following the report, BNB experienced a drop of 2.5%, currently trading at $237.42. Despite the dip, Binance's native token maintains a slight edge over Ripple-affiliated XRP. The two cryptocurrencies are worth $36.9 billion and $35.9 billion, respectively.

This article was originally published on U.Today

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.