In the latest episode of regulatory scrutiny surrounding cryptocurrency exchange Binance, the Australian Securities and Investments Commission (ASIC) has searched the firm’s Australian offices. The search forms part of an ongoing investigation into Binance’s derivatives operation, according to a report by Bloomberg.
ASIC’s inspection sought to assess Binance’s client classification in its derivatives business. This follows Binance’s derivative license cancellation in Australia in April, which led the exchange to wind down associated operations.
The global cryptocurrency giant has been facing regulatory backlash on multiple fronts. The US Securities and Exchange Commission (SEC) has accused Binance of violating securities rules, while there have also been FUD created like the French authorities visiting Binance offices in France in the context of an investigation into the suspected illicit provision of digital-asset services and possible money laundering.
In Australia, Binance’s platform has suffered a setback as it was disconnected from a vital local currency withdrawal route. Despite the mounting challenges, Binance has expressed its intent to cooperate fully with local authorities and adhere to regulatory standards, ensuring its Australian users are served in compliance with local laws.
Binance and its founder, CZ, are being sued by the SEC and a lawsuit from the Commodity Futures Trading Commission. The current ASIC probe marks another significant development in the unfolding regulatory saga around the cryptocurrency exchange.
Also Read: Binance Australia Discontinues AUD Services, Shifts to USDT
