Binance Concealed Substantial Ties to China for Multiple Years, Says Report

Vignesh Karunanidhi
CZ Decides to Step Down From Chairman Role of Binance.US
Source: CryptoPotato

Binance has garnered significant media attention in the wake of the U.S. Commodity Futures Trading Commission’s (CFTC) decision to press charges against Changpeng Zhao’s firm. The CFTC unleashed several charges against the exchange and also the exchange’s CEO, Changpeng Zhao.

To add to the ongoing trouble, the Financial Times has released a report on Binance. The report states that CZ’s exchange hid significant links to China for several years. According to the report, the details were identified after reviewing the exchange’s internal company documents.

Binance’s CZ reportedly instructed employees to hide its Chinese presence

The Financial Times mentioned in its report that CZ and other senior executives reportedly instructed the employees to conceal the presence of the exchange in China. Binance’s presence in China reportedly included an office that was in use until late 2019. Additionally, there was also a Chinese bank that was utilized to pay salaries to certain employees.

A company message by Zhao seen by FT states: “We no longer publish our office addresses . . . people in China can directly say that our office is not in China.”

Source: YouTube

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The report also mentioned that Zhao has conveyed to most of its employees that the exchange left China after the country began scrutinizing cryptocurrencies in 2017. The latest report from the Financial Times adds to the already-piled-up allegations against CZ’s exchange.