Binance, the largest in the world Cryptocurrency exchange In terms of trading volume, it successfully completed its acquisition of South Korea-based digital asset exchange Gopax.
Binance stake in Gopax has been completed
On October 16, industry sources said I mentioned South Korean financial authorities have completed their review of Gopax’s executive changes, which have been pending for a long time. Binance initially acquired a 67% stake in Gopax in February 2023, positioning itself as a major shareholder.
However, the approval process for executive changes submitted to the Financial Intelligence Unit (FIU) has been stalled for nearly two and a half years, as regulators have been cautious about the potential implications of Binance’s ownership of the South Korean platform. Anti-money laundering Anti-Money Laundering (AML) Framework.
The scrutiny surrounding Binance has been exacerbated by its legal troubles in the US, where the Securities and Exchange Commission (SEC), headed by its former chairman Gary Gensler, accused the exchange in June 2023 of illegally providing services to US clients and embezzling client funds.
The US Treasury and Department of Justice (DOJ) also accused Binance of violating anti-money laundering regulations, resulting in a hefty $4.3 billion fine. This eventually led to the former CEO of the exchange, Changpeng Zhao, CZ, resigning and spending four months in prison.
France intensifies efforts to combat money laundering on cryptocurrency exchanges
Currently, South Korean law does not impose a distinct eligibility screening process for major shareholders on cryptocurrency exchanges. Instead, Systems Requires those seeking to work in the digital assets sector, along with their executives, to report to the Financial Intelligence Unit.
In addition, individuals who have been fined for offenses related to concealment of criminal proceeds, terrorist financing, or violations of foreign exchange and capital market laws are prohibited from operating businesses in this sector. This regulatory framework has prompted the South Korean authorities to carefully evaluate Binance’s qualifications to enter the market.
Meanwhile, France is intensifying its anti-money laundering efforts regarding cryptocurrency exchanges. According to According to Bloomberg, regulators are evaluating more than 100 entities that have registered to provide cryptocurrency services, with the aim of determining who will receive permits for operations across the European Union.
France’s Supervisory and Prudential Resolution Authority, known as ACPR, has been conducting comprehensive checks on several exchanges, including Binance, since late last year, according to confidential sources familiar with the situation.
At the time of writing, Binance Coin (BNB), the exchange’s native coin, was one of the worst-performing coins on Friday after weeks of significant surges towards new all-time highs above $1,360. The fourth-largest cryptocurrency by market cap is currently trading at $1,074, having posted losses of 7% over the past 24 hours.
Featured image of DALL-E, chart from TradingView.com
Editing process Bitcoinist focuses on providing well-researched, accurate, and unbiased content. We adhere to strict sourcing standards, and every page is carefully reviewed by our team of senior technology experts and experienced editors. This process ensures the integrity, relevance, and value of our content to our readers.
