Binance - a new problem on the horizon?

[BitcoinPanther]

The lawsuit against Binance is currently worrying many as everyone wonders what will happen to their deposits if the allegations are proven. Because we have known for a long time that Binance is one of the most popular and reliable Crypto Exchanges and everyone has deposited their money with great trust.

Not everyone, I also deposit funds on Binance but I always have worries in my hand.  I do not trust anyone handling my fund except myself.  Although the money I send to the exchange is small, I always hesitant to leave it there for a long time.  After I finish the transaction I always withdraw my funds out of the centralized exchange.

Whether Binance is force to shutdown or not is out of my concern, there is always another exchange to us as trading platform.

I also have some money deposited here so my question is what will happen to everyone's money if the allegations against Binance are proven. Can those who have deposited money in this exchange withdraw their money?

You can always withdraw you money and better if you will withdraw it before the problem goes to new height.

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[Fivestar4everMVP]

This time, the accusations look more severe, plus the "darling" of previously unresolved problems. What is your opinion - what are the prospects for the development of the conflict and the impact on the crypto market?

To be sincere with you, i am just as unsure as to how this issue could impact the crypto market , but one thing i am very sure of is that this is not good at all, and if binance and CZ fail to handle this issue with utmost care and wisdom, this could spell another doom for the crypto market , what we witnessed during the collapse of FTX exchange would be very tiny compared to what we will witness this time.

But i believe CZ, he is a very wise business man, and i believe him to have his ways, he will definitely find a way around this and make sure everything is resolved amicably, in a way it wont have much negative impact on the market generally.

[Reid]

After what just happened with FTX, yes, I am sure this will have a negative impact and they will probably feel it in their sales and usage. But if they get over this I doubt it will take long before they recover.
Their upper hand here is they had been there already. They were sued, cornered, and filled with FUD but yet they are still standing and more traders and clients are still using their service without hesitation.
There will probably be withdrawals that will happen especially those who had experienced what happened with FTX. Whoever or whatever sued them has a great sense of timing.

[o48o]

The largest crypto exchange in the world, Binance, is going through hard times. The American regulator sued her, management was caught lying about working in China, and analysts found out that the exchange was donating to the Russian army.

The US Commodity Futures Trading Commission (CFTC) filed a lawsuit on March 27 against Binance Holdings Ltd and its CEO Changpeng Zhao. The lawsuit alleges that the exchange violated the rules for trading derivatives, writes Bloomberg.

The regulator said that Binance was required to register properly many years ago, but did not do so. The lawsuit alleges that the crypto exchange “disregarded applicable federal laws by facilitating the expansion of Binance’s U.S. customer base because it was beneficial to it.”

https://www.bloomberg.com/news/articles/2023-03-27/crypto-exchange-binance-sued-by-us-cftc-for-alleged-derivatives-rule-lapses

This time, the accusations look more severe, plus the "darling" of previously unresolved problems. What is your opinion - what are the prospects for the development of the conflict and the impact on the crypto market?

I admit that lying and not following sanctions is sounding bad. But i am not so sure that breaknig sanctions were intentional. Most likely sloppy work that can happen when people fake their kycs. If it was intentional it's a whole different case, but that's not for me to decide and i leave that to investigators. But frankly this won't shut down binance. Probably not even jailing CZ wouldn't shut binance down. I think that they will be fined and after that it's business as usual. They are just too big of a company right now and it's not just one man behind it.

[TheGreatPython]

The lawsuit against Binance is currently worrying many as everyone wonders what will happen to their deposits if the allegations are proven. Because we have known for a long time that Binance is one of the most popular and reliable Crypto Exchanges and everyone has deposited their money with great trust.
I also have some money deposited here so my question is what will happen to everyone's money if the allegations against Binance are proven. Can those who have deposited money in this exchange withdraw their money?

The account balances of users are not an issue if there is something very severe like the closure of the entire platform, they will surely give their users time to withdraw the funds from their accounts, but you should imagine the impact it will have if the authorities succeed in this and they get Binance on its knees and they will be compelled to close the exchange down.

That will be a nightmare for the whole crypto universe, it's the biggest centralized exchange out there with all the liquidity and tokens listed, I wonder where all the users will go if something like that happens.

[Smack That Ace]

Funny thing that Binance had been in this FUD situations before and they always come victorious. We all know that behind this was one man for sure is SBF that wanted to see CZ to see the downfall like FTX did. The SEC became a greedy institution wanted to crypto crypto as they badly wants but in the end they will not succeed like they did to XRP.

If we look closer, the SEC and CFTC are trying to control the crypto market instead of just targeting exchanges like Binance or CZ personally. Two days ago, the Bittrex exchange also planned to voluntarily suspend operations in the US due to legal issues. Coinbase, the oldest exchange in the market, is also considering the possibility of moving its trading unit out of the US market due to regulatory concerns. It shows that regulatory institutions in the US are targeting the entire market, not just Binance.

[DrBeer]

The largest crypto exchange in the world, Binance, is going through hard times. The American regulator sued her, management was caught lying about working in China, and analysts found out that the exchange was donating to the Russian army.

Are these donations from Binance's clients or the firm? Individuals or companies might decide to donate to Russia through Binance due to Krelim's disconnection from the international banking system. It shouldn't be just an allegation to give the company a bad name, I hope they have evidence to back their claims.

The US Commodity Futures Trading Commission (CFTC) filed a lawsuit on March 27 against Binance Holdings Ltd and its CEO Changpeng Zhao. The lawsuit alleges that the exchange violated the rules for trading derivatives, writes Bloomberg.

The regulator said that Binance was required to register properly many years ago, but did not do so. The lawsuit alleges that the crypto exchange “disregarded applicable federal laws by facilitating the expansion of Binance’s U.S. customer base because it was beneficial to it.”

The timing of this suit is very suspicious. Binance claimed that it has been cooperating and working with the US government to ensure that all issue is resolved amicably. I am suspecting that the recent fall in some major banks in The US and Switzerland damaged the goodwill of the conventional banking system and the government also wants to give the crypto space a bad name to discourage people from pulling out of banks and investing in the crypto industry.

The legislation is not interested in who, the legislation says - it is impossible, and if the site does not block such an opportunity - be responsible for violations. I do not think that such things will be unfoundedly accused, I am sure there is concrete evidence that will very accurately show who and where withdrew funds.

"Suspiciousness" - so it can be tied to anything - for example, there were strikes in France, the same reason And the fact that banks have problems, and only a part, since the fact that Binance violates the law will help them solve their problems ? No way. But "binding events" - yes you can

[arwin100]

Funny thing that Binance had been in this FUD situations before and they always come victorious. We all know that behind this was one man for sure is SBF that wanted to see CZ to see the downfall like FTX did. The SEC became a greedy institution wanted to crypto crypto as they badly wants but in the end they will not succeed like they did to XRP.

If we look closer, the SEC and CFTC are trying to control the crypto market instead of just targeting exchanges like Binance or CZ personally. Two days ago, the Bittrex exchange also planned to voluntarily suspend operations in the US due to legal issues. Coinbase, the oldest exchange in the market, is also considering the possibility of moving its trading unit out of the US market due to regulatory concerns. It shows that regulatory institutions in the US are targeting the entire market, not just Binance.

To bad that US is so strict regarding to their regulation on crypto and this is really been discouraging to the platform owner since this create to much trouble to them. Much better if they leave their operation to that country and leave those guys alone  so that they will be left in crypto adoption. Their simple attacks on reputable platform maybe create some statements that they want to control the crypto platform operates on their country then maybe also to get more resources and manipulate them.

[DrBeer]

I avoided interacting with the Binance cryptocurrency exchange for a very long time.  I didn't really like that Binance is a centralized exchange.  

Of course, I understood that Binance is a very popular project and many interesting events are taking place on this platform.  However, for some reason, I avoided registering on this platform.  

However, I recently bought a BNB token.  And since then, I have been reading more and more information materials about potential problems in this ecosystem.  

Binance has a very well thought out international organizational structure.  This structure combines legal and illegal elements.  

It seems that the management of Binance is using every opportunity to make a profit.  Previously, this did not bother anyone, everyone understood that some entrepreneurs work in a gray zone and this is normal.  

However, now the world has changed dramatically.  Now regulators make many decisions based not on economic, but purely political considerations.  

Probably, the leadership of Binance is forced to cooperate with the special services of different countries, and this significantly increases the risk of criminal prosecution of the management of the cryptocurrency company and the presentation of property claims to it.

I agree that very often, companies follow the path of the saying "money does not smell" or "pecunia non olet" (c) the Roman emperor Vespasian.
But is there any common sense? At a minimum, there should be some kind of "stop limit" in trying to make money everywhere, in any way, in any way. This is a direct path towards the border, beyond which there is already illegal reality. And having accelerated strongly, you can simply not have time to slow down - and by inertia cross this line. If everything is there, as the accusations sound, it seems that you need to be careful with deposits and storage of assets on Binance ....

It is very difficult to run a business in compliance with all the rules.  Especially when it comes to such an innovative area as cryptocurrencies.  

The purpose of a business is to make a profit.  Accordingly, if you start your business in a gray zone, in areas that have not yet been regulated by regulations, then your strategy is aggression and expansion.  You need to take a monopoly place in this field of activity and earn a lot of money.  Then you have a chance to negotiate with everyone, formalize a completely legal business and create a legendary technology company.  

But initially there will be many pitfalls on the way of your ship.  

We are all law-abiding people here, but there is a suspicion that having earned a very large amount of money, you can lobby for those laws that will protect your interests.  

And if you do not manage to earn enough money and lobby for the laws you need, then the existing laws will be turned against you ... There is a suspicion that many businessmen have faced this, and only a few managed to successfully maintain their business, turning it into a top super company.

Absolutely agree ! In fact, any business, and the larger, the larger - the closer to the moves on the borders of the law. It is foolish to deny and argue. And this is in all countries, with all regimes, with any religion. This is BUSINESS. But there are nuances. For example, failure to comply with some requirements of international regulators. Moreover, two years ago, Binance said yes, we will comply with all conditions, we understand, we accept the rules of the game. Then they are violated. This is already a primitive deception.
The second side of this story is moral and ethical moments. Sponsoring a terrorist war and the side of the aggressor, or providing mechanisms for such actions is not the best way to fame ... For example, if this is proven, Binance will become a "forbidden land" for me, I will not offer it to anyone as a quality exchange.
This is purely my opinion, I do not impose it on others.

[HedgeFx]

It is very difficult to run a business in compliance with all the rules.  Especially when it comes to such an innovative area as cryptocurrencies.  

Agree!
Even today there are a lot of companies that operate anonymously (crypto-to-Crypto) effectively allowing you to trade in futures and derivatives anywhere in the world.
But binance has become so big that it has to comply with the laws of the countries in which it operates and this sometimes represents a limit to the offer of services.

[DrBeer]

It is very difficult to run a business in compliance with all the rules.  Especially when it comes to such an innovative area as cryptocurrencies.  

Agree!
Even today there are a lot of companies that operate anonymously (crypto-to-Crypto) effectively allowing you to trade in futures and derivatives anywhere in the world.
But binance has become so big that it has to comply with the laws of the countries in which it operates and this sometimes represents a limit to the offer of services.

It's like the saying "little kids, little problems, big kids, big problems"

The scale of "problems" is always proportional to the scale of the company. A small local company is unlikely to have problems that go beyond local laws and local (within the country) relations. When a company operates in different countries, in different jurisdictions, this adds a huge number of new, sometimes conflicting requirements, restrictions, rules for working in a particular market... These are all features of international business, international companies, which Binance is. The question is how much Binance is ready to make compromises and sometimes even "sacrifices"

[asawale]

The largest crypto exchange in the world, Binance, is going through hard times. The American regulator sued her, management was caught lying about working in China, and analysts found out that the exchange was donating to the Russian army.

The US Commodity Futures Trading Commission (CFTC) filed a lawsuit on March 27 against Binance Holdings Ltd and its CEO Changpeng Zhao. The lawsuit alleges that the exchange violated the rules for trading derivatives, writes Bloomberg.

The regulator said that Binance was required to register properly many years ago, but did not do so. The lawsuit alleges that the crypto exchange “disregarded applicable federal laws by facilitating the expansion of Binance’s U.S. customer base because it was beneficial to it.”

https://www.bloomberg.com/news/articles/2023-03-27/crypto-exchange-binance-sued-by-us-cftc-for-alleged-derivatives-rule-lapses


This time, the accusations look more severe, plus the "darling" of previously unresolved problems. What is your opinion - what are the prospects for the development of the conflict and the impact on the crypto market?

I used to believe the US government agencies don't go to court except they have the facts holding the defendants at jugular. But seeing the direction the SEC VS XRP is heading, I believe the Binance will survive this. Although their might be some fears in the cryptocurrency community base on the pillar the Binance is as far as cryptocurrency is concerned. But I'm sure we will be fine.

The maximum or worse the Binance can get is being hugely fined but it will be fine in the end.

[Smack That Ace]

Funny thing that Binance had been in this FUD situations before and they always come victorious. We all know that behind this was one man for sure is SBF that wanted to see CZ to see the downfall like FTX did. The SEC became a greedy institution wanted to crypto crypto as they badly wants but in the end they will not succeed like they did to XRP.

If we look closer, the SEC and CFTC are trying to control the crypto market instead of just targeting exchanges like Binance or CZ personally. Two days ago, the Bittrex exchange also planned to voluntarily suspend operations in the US due to legal issues. Coinbase, the oldest exchange in the market, is also considering the possibility of moving its trading unit out of the US market due to regulatory concerns. It shows that regulatory institutions in the US are targeting the entire market, not just Binance.

To bad that US is so strict regarding to their regulation on crypto and this is really been discouraging to the platform owner since this create to much trouble to them. Much better if they leave their operation to that country and leave those guys alone  so that they will be left in crypto adoption. Their simple attacks on reputable platform maybe create some statements that they want to control the crypto platform operates on their country then maybe also to get more resources and manipulate them.

This is the price we must pay if we want to make cryptocurrency universal and widely accepted on a global scale. Bitcoin could not have become popular without their consent, the government is still the one who controls our world.
Honestly, this doesn't surprise me, as governments have seen the benefits of crypto, and it's only a matter of time before they introduce regulations to control us. That is inevitable.
hey want money and power, they don't want people to be free and look down on them.
Money is the ultimate goal of this lawsuit.
https://cointelegraph.com/news/cz-binance-influencers-face-1b-lawsuit-for-unregistered-securities-promo

[dimonstration]

This time, the accusations look more severe, plus the "darling" of previously unresolved problems. What is your opinion - what are the prospects for the development of the conflict and the impact on the crypto market?

I knew this since the day Binance keeps changing HQ location and building Binance.US as proxy for them in US market instead of fully complying with regulator. I believe SBF give us a hint about what CZ hiding before by pulling out FTX investment on Binance and CZ retaliated with a massive attack on FTX price.

I think CZ knew that this day will come that’s why he invented his 4 sign to make his followers blindly believe him despite there’s a strong evidence towards the lawsuit against them.

[DrBeer]

The largest crypto exchange in the world, Binance, is going through hard times. The American regulator sued her, management was caught lying about working in China, and analysts found out that the exchange was donating to the Russian army.

The US Commodity Futures Trading Commission (CFTC) filed a lawsuit on March 27 against Binance Holdings Ltd and its CEO Changpeng Zhao. The lawsuit alleges that the exchange violated the rules for trading derivatives, writes Bloomberg.

The regulator said that Binance was required to register properly many years ago, but did not do so. The lawsuit alleges that the crypto exchange “disregarded applicable federal laws by facilitating the expansion of Binance’s U.S. customer base because it was beneficial to it.”

https://www.bloomberg.com/news/articles/2023-03-27/crypto-exchange-binance-sued-by-us-cftc-for-alleged-derivatives-rule-lapses


This time, the accusations look more severe, plus the "darling" of previously unresolved problems. What is your opinion - what are the prospects for the development of the conflict and the impact on the crypto market?

I used to believe the US government agencies don't go to court except they have the facts holding the defendants at jugular. But seeing the direction the SEC VS XRP is heading, I believe the Binance will survive this. Although their might be some fears in the cryptocurrency community base on the pillar the Binance is as far as cryptocurrency is concerned. But I'm sure we will be fine.

The maximum or worse the Binance can get is being hugely fined but it will be fine in the end.

A fine is the most positive scenario for Binance! But this is most likely unlikely. The problem is that the charges are more severe, and the punishment is likely to be more severe as well. The United States adheres to the position - you gave your word - keep it. Agreed to comply with the specified rules of the game - follow them. Well, the second accusation - this is already beyond the scope of fines, this is a violation of international laws and regulations. In a word, we are watching the development

[Mario Yamasaki]

Haters do everything to kill crypto, I believe the main motive for this accusation is for the market to crash, as we know Binance is the largest and most influential crypto exchange, if binance loses this lawsuit of course it will make the next attack even sharper, binance must hire a top lawyer even if they have to pay billions of dollars.

[el kaka22]

I am sick and tired of new and bigger news trying to bash binance and it makes absolutely no change neither. Binance is as strong as it has ever been and no matter how much they attack it, it just stands tall.

Obviously when all the nations of the world gets together to attack it, eventually something will happen but it just doesn't really feel like a good idea to me at all. It's obvious that we shouldn't be doing any of this, and Binance should be let go and freely managed, all these news and attacks are all a bad idea and shouldn't be done. I hope that we won't see it go any worse but whatever is asked from Binance, CZ should reconsider it, and get ease of mind.

[coupable]

Obviously when all the nations of the world gets together to attack it, eventually something will happen but it just doesn't really feel like a good idea to me at all. It's obvious that we shouldn't be doing any of this, and Binance should be let go and freely managed, all these news and attacks are all a bad idea and shouldn't be done. I hope that we won't see it go any worse but whatever is asked from Binance, CZ should reconsider it, and get ease of mind.

This is what we also believed about MtGox and Ftx until it turned out that they were scams at a time when the entire industry was complaining about the absence of oversight by the authorities and securing the rights of customers. Increased control measures require Binance and other platforms to adjust their policies in accordance with legal controls.
Perhaps the problem that Binance is going through is not very disturbing, but it is good to remind the platform that it is under the spotlight and that it must provide its services according to certain limits and controls. I wanted to make it clear to you that Binance is not too big to decline or collapse, especially if it raises many suspicions.

[Bananington]

This time, the accusations look more severe, plus the "darling" of previously unresolved problems. What is your opinion - what are the prospects for the development of the conflict and the impact on the crypto market?

If binance goes down like FTX, I wonder which exchange will take over. But the development will really make the point more clearer that if the biggest exchange in the world can go down, anything is possible with any other exchange that you decide to begin to use. At this time, it will be wise to begin Searching for an alternative. As you become cautious with binance, you also have to careful with other companies that it has acquired like Trust Wallet.

[Semar Mesem]

The position of binance which is currently too strong and expansion in many countries is of course a threat in itself, if the market is too controlled by binance it will create competition and unhealthy things, and this is what observers fear that when one day there is a problem with binance it will make market crashes.