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HomeCryptoBinance, the cryptocurrency giant with 90 million customers, is faltering.

Binance, the cryptocurrency giant with 90 million customers, is faltering.

Binance is a platform, the very platform one could say of cryptocurrencies and it has no less than 90 million users! He is an almost unavoidable actor.

Binance faces two investigations: one from the US stock market policeman, the other from the Reuters news agency.

Bad times for the Binance cryptocurrency exchange, which is the subject of a particularly negative investigation by Reuters, but also due process by the police of the American Stock Exchange, the Securities and Exchange Commission (SEC).

After the crypto-crash, we feel that the regulatory vice is tightening around the major trading platforms, for lack of initiative at the legislative or strict regulatory level, this requires case law.

Thus, on the one hand Binance is indeed the subject of an investigation by the SEC on binancecoin (BNB), a cryptocurrency created by the platform, launched via an Initial Coin Offering (ICO, which is a form of introduction exchange in the cryptocurrency sector, in the form of a token sale) five years ago. To date, binancecoin is the third largest cryptocurrency in terms of capitalization according to Coinmarketcap, with $46 billion in capitalization.

The SEC wants to establish whether this token was completely legal at the time, and whether it had all the investment qualities and transparency required for the investor. A real reverse investigation that could hurt Binance, which is also implicated by a Reuters investigation”.

And also 2.3 billion dollars of fraudulent amounts

“This investigation speaks to a massive fraud on Binance with $2.35 billion in fraudulent amounts allegedly laundered there via cryptocurrency transactions, mostly from large-scale hacks, investment fraud and illegal drug sales, according to Reuters.

Separately, specialist firm Chainalysis, contracted by US government agencies to track illegal flows, concluded in a 2020 report that Binance received criminal funds totaling $770 million in 2019 alone, more than any other cryptocurrency exchange platform,” Reuters adds.
The facts would have taken place before 2021 and the strengthening of transparency rules at Binance. But the investigation reveals that before this date, Binance had absolutely no precise idea of ​​who was investing and when on its platform”.

If for the moment, no legal action is envisaged on these transactions suspected of being fraudulent, it is clear to what extent cryptocurrencies are in the sights of economic and monetary authorities in all major countries.

You know my point of view from the start.

As beautiful as decentralized finance is and as attractive as free currencies are (and I love that concept), there is very little chance that those who hold the power to mint money and decide crises and recessions, as moments of growth and expansion through their monetary tools let kind and sympathetic geeks turn into so many central bankers. Really very unlikely.

So the cryptos will either become central bank cryptos the CBDCs, or they will disappear under the blows of the authorities.

Monetary power cannot be shared.

The monetary power of the dollar even less.

Every day the United States leads wars to ensure the supremacy of the dollar which is a formidable monetary weapon in the domination of the world.

Charles SANNAT

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