The largest crypto exchange platform by trading volume has now found itself as the subject of a lawsuit. Specifically, Binance and CEO Changpeng Zhao has been sued by the US Commodity Futures Trading Commission (CFTC) for alleged regulations violations.
Bloomberg reported that the regulator is suing the exchange “for allegedly breaking trading and derivatives rules.” Moreover, the report states that “the FCTC filed the lawsuit Monday in federal court in Chicago.”
Binance Sued by US Government Agency
The largest crypto exchange platform by trading volume has found itself on the tail end of a lawsuit today. Specifically, Bloomberg reported that both Binance and CEO Changpeng Zhao are being sued by the US CFTC for alleged regulatory violations.
Currently, details on the violations or the accusations are minimally available. Conversely, Bloomberg reported that the lawsuit had been filed today in a federal court. Moreover, although there are few specifics, the report states the US CFTC is suing Binance “for allegedly breaking trading and derivatives rules.”
The US Commodity Futures Trading Commission is a government entity designed to protect the public from potential wrongdoings in the financial sector. Additionally, they execute their own investigation and prosecute potential commodities fraud, including those occurring in “foreign currency schemes,” as the website states.
There has been no comment made by Binance or CEO Changpeng Zhao. Moreover, there have been few specific details regarding the wrongdoings of the exchange that have come to light. The situation is still developing.