BINANCE About To LOSE BILLIONS! New Attack By The Government!
How’s it going everyone? Rumor is Binance is about to lose possibly billions of dollars in fines to the US government. Now, I want to be clear, I’m not trying to spread fear, uncertainty, and I’m just trying to report the news as it comes in and trying to give it to you in a timely manner, because this has just been coming out and it could send some ripples through the crypto market, but we’ll talk about that, what this means for crypto here in a minute.
As we can see, the whole crypto market’s still looking great. Bitcoin is close to 25,000. Again, it’s the highest point that we’ve seen in six months. And the news of what’s happening with Binance, it doesn’t seem to be shaking the market at all. But I still will say, and I’ve been saying this for a while, there’s no reason to keep the majority of your crypto on Binance.
To be clear, I. Have a Binance account. I use Binance. I like Binance. I hope nothing goes wrong with them, but I’ve been saying for a while there’s no point in keeping the majority of your crypto on with B U S D being attacked by the SEC. I said this could be something bad for Binance as well. We also saw Kraken get their staking services shut down.
Now we’re getting news. And this is, this was kind of a rumor a few days ago in a Twitter space discussing Binance, but, apparently they’re going to try to avoid criminal penalties altogether and pay a one to 2 billion fee, fine or fee now. . What is this all about? Well, this article from the Wall Street Journal, goes through it a little bit more.
They say Binance grew quickly and began as a business powered by software engineers, unfamiliar with laws and rules written to address the risk of bribery and corruption, money laundering, and economic sanctions. The company has been working to fill gaps. Early compliance efforts, he says, but still expects regulators will impose fines for past conduct.
They’ve been growing very quickly and been willing to break things. Kind of the Silicon Valley model. The Silicon Valley model. The company is working with regulators to find out and figure out what the remediations. They have to go through now are to make amends for what they did in the past. The outcome will likely be a fine, could be more.
We just don’t know. This is for regulators to decide. Obviously after the s e c and after, the New York, whatever it was, department went after Paxos shut down all B U S D and after they went after Kraken as well, the. , I wouldn’t be surprised to see them go after a bigger player like Binance and Binance just to pay ’em some money to sweep it under the rug.
Now, if they took out a part of their business, like staking for example, whether it’s Binance or Binance us, I think that they would be more likely to fight it in. Coinbase has said the same thing, that they’re more likely to fight for staking, but if it’s past misconduct, like what they’ve done, where some people.
Jumped on tokens. And this has happened on other exchanges as well. But if people that worked for them jumped on tokens and committed, um, some type of fraud or, just weren’t, on the up and up, if they did some different illegal things as they were growing,
I think that would make sense for Binance just to pay the fee and not to really fight ’em too much on this, especially when they are cracking down so hard on crypto, it’s obvious that they’re.
To continue to crack down for a while now, we did get a reverse wells notice, uh, from U S D C, so basically going after the S E C. So they’re trying to point out the fact that the s e C is overreaching. So now the crypto in the entire crypto industry should have a bit more breathing. As I said, this isn’t really affecting crypto right now, at least price action wise and honestly, I just heard about this for the first time, but I don’t think this is necessarily a bad thing.
I think Binance can handle a one to $2 billion hit and it might give people some comfort to know that Binance is kind of getting the check mark or the I, the AO K from the s ec. Maybe they’ll lay off them in terms of staking or other lines of their business, going forward a little bit since they are going to be able to get a lot of money from them.
But let me know your thoughts on this underneath the Blog , not spraying fear, uncertainty and doubt, but there’s no reason to keep the majority of your crypto on an exchange. In this day and age, I would highly suggest getting a cold storage wallet.
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