The Chairman of the CFTC stated on Tuesday that activity at Binance was an example of evasion and that U.S. officials needed to intervene as soon as possible.
“This seemed to be a pretty clear case of evasion and something that we needed to step in aggressively with and do it as quickly as possible because this was an ongoing fraud – going back to 2019 – and ongoing violation of the Commodity Exchange Act,” CTFC chairman said in an interview.
On Monday, the US government sued the biggest cryptocurrency exchange in the world, Binance.
Behnam claimed that Binance was a common business made up of countless organizations dispersed all over the world.
“Not having a headquarters, not having a location is not going to prevent the CFTC from coming after you,” he said.
According to Benham, there is no doubt that Changpeng Zhao, CEO of Binance, was in charge of the company, and there is sufficient evidence that Zhao intended to break the law.
“So we’re going to vigorously continue and fight this case in court,” he told the CFTC.
We are yet to see if the lawsuit will have Binance pay any fines or penalties.