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James Carter

April 4, 2023

Binance Founder Denies Interpol Notice-Here’s the Latest

The CEO of Binance has responded to rumors that he has gotten an Interpol Red Notice trying to locate and arrest the cryptocurrency’s founder by referring to the rumor as “FUD.” He has disputed the charges.

Binance Founder Denies Interpol Notice Rumors

In a tweet published on Tuesday, Changpeng “CZ” Zhao refuted rumors that he was the subject of a Red Notice request made by the International Criminal Police Organization (Interpol).

Even more, he published an image of the purported Red Notice and said that the image had been altered in some way.

Binance Founder Denies Interpol Notice-Here’s the Latest

Following the dissemination of an encrypted letter by the Twitter personality known as “Cobie,” which claimed that CZ was the subject of an Interpol Red Notice, the rumors began to propagate across social media platforms.

The story was taken up by a number of news outlets, which caused widespread anxiety among members of the cryptocurrency community. It resulted in a precipitous decline not only in the price of Binance’s BNB coin but also in the market as a whole.

The International Criminal Police Organization, also know as Interpol, is an organization that promotes police cooperation across international borders by bringing together law enforcement agencies from all around the world. Fugitive individuals who are wanted for extradition are given a “Red Notice” by the organization.

The agency has the ability to function as a request to law enforcement agencies in any of the 194 member nations, requesting that they identify and provisionally arrest the individual who is the subject of the notice.

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It is important to note that a Red Notice is not the same thing as an international arrest order, nor can it be enforced on its own. Instead, the notice is meant to function as a tool that can help expedite the process of extraditing a wanted person from one nation to another.

A spokesman for Binance dismissed the charges in a statement that was provided to CryptoNews. The spokesperson also referenced the website of Interpol, which, as of April 4, does not display a public Red Notice for Binance CEO Changpeng Zhao.

Binance in Hot Waters With Regulators in the US

Binance is in a Pickle Right Now With the Authorities in the United States
In recent months, regulators from around the world have been intensifying their attention to Binance, with the US firm being the most exposed to ongoing crackdowns by the Securities and Exchange Commission (SEC).

Binance and its founder Changpeng “CZ” Zhao, are being sued by the Commodity Futures Trading Commission (CFTC) over allegations that the cryptocurrency exchange knowingly offered unregistered crypto derivative products in the United States in violation of the law. The lawsuit was just recently announced by the CFTC.

Concerns have been raised regarding the extent to which the largest cryptocurrency exchange in the world adheres to Anti-Money Laundering (AML) and Know Your Customer (KYC) controls. The Internal Revenue Service in the United States as well as a number of federal prosecutors are conducting these investigations.

In addition, the SEC has given Paxos, the cryptocurrency company that is responsible for issuing Binance’s stablecoin Binance USD (BUSD), a Wells Notice, indicating that it intends to sue the company because of its BUSD issuance. It was suggested by the agency that BUSD should be classified as an unregistered security.

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At the beginning of March, three United States Senators, including Elizabeth Warren (D-Massachusetts), Chris Van Hollen (D-Md.), and Roger Marshall (R-Kansas), requested that Binance and its US partner Binance.US provide specific information regarding their business operations in response to allegations of engaging in illegal practices.

In a letter that was sent to CZ as well as Binance.

The senators told US CEO Brian Shroder that the exchange and its related entities had “purposefully” evaded regulators, facilitated the transfer of assets to criminals and sanctions evaders, and concealed basic financial information from its customers and the public. In addition, the senators said that the exchange had facilitated the transfer of assets to criminals and sanctions evaders.

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