Binance Gets Court Approval to Invest Customer Funds in US Treasury Bills

Joshua Ramos
Binance
Source – Binance

Cryptocurrency exchange Binance has officially received court approval to invest US customer fiat funds into US Treasury Bills. A recently released court filing shows the official approval that the exchange is authorized to “invest certain customer assets” into the United States debt securities.

Binance had recently settled criminal charges with the US Justice Department in November of last year. A years-long investigation led to a $4.3 billion fine from the exchange, as well as forcing then-CEO Changpeng Zhao to step down.

Also Read: Binance Might Throw a Surprise to the Shiba Inu Army This Week

Binance Approved to Invests Customer Fiat in US Treasury Bills

Just two days ago, Binance released a breakdown of US Treasury bills and how they work. The exchange detailed T-bills, and how they raise money for the government. They noted the low-risk investment of the asset, and how they function in the modern finance landscape.

That preceded a recent court filing that shows Binance has received court approval to invest customer fiat funds into US Treasury bills. Indeed, the filing details the approval parameters. Specifically, the ability of the exchange to “invest certain customer fiat funds currently custied at BitGo,” into the debt securities.

Source: CoinDesk

Also Read: BNB Trends In Green: How High Can Binance Coin Trade This Week?

These investments are short-term debt securities that are issued by the government. Moreover, they are typically issued in order to meet one specific need. The filing says that the United States Treasury Bills approved “will mature on a rolling four-week basis,” provided no third-party entities are involved. The filing also requires Binacen to “maintain sufficient USD on its platform to only all expected customer fiat withdrawal requests.”

Conversely, the exchange has seemingly reached the other side of its ongoing regulatory issues in the US. The firm paid a noticeable fine to the DOJ late last year. Moreover, the SEC dropped an investigation into Paxos over its issuance of the Binance USD stablecoin.