CFTC Takes Stance Against Crypto Exchanges Violating Trading Laws
In Brief
In a strong stance, the U.S. Commodity Futures Trading Commission (CFTC) has declared its unwavering commitment to pursuing cryptocurrency exchanges that breach trading regulations.
The CFTC emphasizes that it will not tolerate the use of VPNs or any tactics to bypass KYC rules. Non-U.S. entities will also be subject to the commission’s pursuit.
Binance Faces $4.3 Billion in Fines as CEO Pleads Guilty
The CFTC has aggressively pursued Binance, a leading cryptocurrency exchange, in a high-profile case. Former CEO Changpeng Zhao pleaded guilty and stepped down from his role.
Binance is set to pay hefty fines, with $50 million coming directly from Zhao. A significant portion of the fines is related to allowing U.S. customers to trade unregistered crypto derivatives.
Access to US Customers is a Privilege, Not a Right
CFTC Commissioner Christy Goldsmith Romero emphasizes that there is no room for non-compliant behavior in U.S. markets.
The CFTC views access to U.S. customers as a privilege, not a right, and pledges to pursue exchanges that violate trade laws aggressively. The commission will take a firm stance against the use of VPNs and any actions designed to evade KYC rules.
CFTC Main Commitment
CFTC Commissioner Caroline D. Pham reaffirms the commission’s global reach, making it clear that it will not hesitate to pursue non-U.S. entities involved in violations.
This aggressive stance comes in the midst of a prolonged case against SBF, the founder of FTX, who faces multiple felony counts, including money laundering conspiracy, with potential severe penalties.
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Nik is an accomplished analyst and writer at Metaverse Post, specializing in delivering cutting-edge insights into the fast-paced world of technology, with a particular emphasis on AI/ML, XR, VR, on-chain analytics, and blockchain development. His articles engage and inform a diverse audience, helping them stay ahead of the technological curve. Possessing a Master's degree in Economics and Management, Nik has a solid grasp of the nuances of the business world and its intersection with emergent technologies.
More articlesNik is an accomplished analyst and writer at Metaverse Post, specializing in delivering cutting-edge insights into the fast-paced world of technology, with a particular emphasis on AI/ML, XR, VR, on-chain analytics, and blockchain development. His articles engage and inform a diverse audience, helping them stay ahead of the technological curve. Possessing a Master's degree in Economics and Management, Nik has a solid grasp of the nuances of the business world and its intersection with emergent technologies.