Binance shows cooperation with SEC, CFTC as step to improve compliance

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Binance recently revealed that it had made progress in cooperating with regulators after recent engagements with entities like the U.S. Securities and Exchange Commission (SEC) and the U.S. Commodity Futures Trading Commission (CFTC) to improve its compliance.

In a Tuesday blog post, Binance admitted that it might have overlooked some compliance updates due to its rapid growth as a company in the past.

“As has been widely reported, when Binance first launched, it did not have compliance controls adequate for the company that it was quickly becoming, and it should have. Acknowledging this, we have taken full responsibility for our past actions,” said Binance.

“We are cooperating with U.S. agencies, including accepting a robust monitorship for our compliance and sanctions control programs, and we will continue to take proactive steps to remedy historical issues.”

The crypto exchange expressed its openness to scrutiny, recognizing it as crucial for staying aligned.

“We have faced – and actually welcomed – unprecedented scrutiny, which shed light not only on issues of the past but on the many ways we have worked to fix them. It’s time to move forward,” said Binance.

Binance has agreed to a monitoring system for its compliance and sanctions control programs. The company believes that collaborating with U.S. agencies is important to improve its platform, ensuring increased safety and security for its users.

Binance highlighted the importance of confirming its commitment to progressing in compliance. It shared statements from various agencies acknowledging its strong cooperation to maintain a good standing. These agencies include the U.S. Financial Crimes Enforcement Network (FinCEN), the Department of Justice (DoJ) and the Office of Foreign Assets Control (OFAC).

The agencies acknowledge Binance’s full cooperation during their investigations and recognize the platform’s steps to address its mistakes. Binance’s proactive collaboration with law enforcement worldwide demonstrates these efforts.

Binance revealed that OFAC had specifically highlighted its cooperation, which included conducting an extensive internal investigation, providing substantial data and engaging in multiple presentations and communications. Binance said it had implemented significant remedial measures, including forming dedicated teams for cooperation with law enforcement and sharing intelligence proactively.

FinCEN complimented Binance’s cooperation, particularly in combatting illicit activities. Although Binance did not file suspicious activity reports with FinCEN, Binance said that it had actively cooperated with global law enforcement and blockchain vendors to combat terrorism financing.

Regarding Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT), the DoJ confirmed Binance’s actions, saying that the company had initiated an “enterprise-wide AML/CFT and sanctions risk assessments” starting in November 2022.

Binance plans to list gaming altcoin project

Binance recently announced plans to add Fusionist (ACE) to its Launchpool platform.

ACE represents the native token of Endurance, a decentralized gaming and social platform on the blockchain.

Binance plans to start ACE staking immediately, with potential trading starting on December 18. ACE will carry a seed tag upon open trading, prompting users to take tests every 90 days to ensure they understand the risks associated with the token exchange.

“Users will be able to stake their BNB and FDUSD in separate pools to farm ACE tokens for five days, with farming starting on December 13, 2023 at 00:00 (UTC),” said Binance.