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What did Binance do wrong again? I don’t consider having faulty blockchain analysis software at a time (2018) when most blockchain analysis software wasn’t ver

by from 4y ago

What did Binance do wrong again? I don’t consider having faulty blockchain analysis software at a time (2018) when most blockchain analysis software wasn’t very good a crime. And the Iranians they supposedly aided all used VPNs and hid the fact that they were Iranian. I think the best the government will get out of Binance is a DPA but that’s just me.

bb88 4y ago
This seems to be a reasonable article describing the possible Binance prosecution from earlier today. https://www.cnbc.com/2022/12/12/us-doj-is-split-over-charging-binance-as-crypto-world-falters.html https://www.cnbc.com/2022/12/12/us-doj-is-split-over-chargin... But as a counterpoint, if they couldn't create AML controls for their exchange, they shouldn't have existed -- at least not until they built it.
wmf 4y ago
Binance may "only" be guilty of market manipulation like BitMEX but we'll never know without opening the hood.
klyrs 4y ago
They haven't been caught red-handed, but their reserve claims are highly suspect[1]. Predictions that Binance is next are pretty credible in my mind, and the DOJ is already looking[2] in that direction. [1] https://mishtalk.com/economics/binances-alleged-crypto-audit-failed-not-even-its-auditor-would-vouch-for-it https://mishtalk.com/economics/binances-alleged-crypto-audit... [2] https://arstechnica.com/tech-policy/2022/12/doj-divided-over-charging-binance-for-alleged-crypto-crimes-report-says/ https://arstechnica.com/tech-policy/2022/12/doj-divided-over...
- boringg 4y ago
  Also given that the big banks haven't been hit hard from this scandal DOJ might go harder at Binance since they probably didnt want to destabilize the economy unnecessarily with pursuing both at the same time (uncertainty around exposure to crypto in the wider market).
jacquesm 4y ago
They'll be caught shuttling around money from account to account to inflate the apparent amount of reserves on the books by my reading of that Mazar's doc. (to elaborate: Look here, we have 2 billion in this account on Monday, 2 billion on that account on Tuesday and 2 billion over there on Wednesday, so that makes 6 billion total, right?).

by from 4y ago

bb88 4y ago

This seems to be a reasonable article describing the possible Binance prosecution from earlier today. https://www.cnbc.com/2022/12/12/us-doj-is-split-over-charging-binance-as-crypto-world-falters.html https://www.cnbc.com/2022/12/12/us-doj-is-split-over-chargin... But as a counterpoint, if they couldn't create AML controls for their exchange, they shouldn't have existed -- at least not until they built it.

wmf 4y ago

Binance may "only" be guilty of market manipulation like BitMEX but we'll never know without opening the hood.

klyrs 4y ago

They haven't been caught red-handed, but their reserve claims are highly suspect[1]. Predictions that Binance is next are pretty credible in my mind, and the DOJ is already looking[2] in that direction. [1] https://mishtalk.com/economics/binances-alleged-crypto-audit-failed-not-even-its-auditor-would-vouch-for-it https://mishtalk.com/economics/binances-alleged-crypto-audit... [2] https://arstechnica.com/tech-policy/2022/12/doj-divided-over-charging-binance-for-alleged-crypto-crimes-report-says/ https://arstechnica.com/tech-policy/2022/12/doj-divided-over...

boringg 4y ago
Also given that the big banks haven't been hit hard from this scandal DOJ might go harder at Binance since they probably didnt want to destabilize the economy unnecessarily with pursuing both at the same time (uncertainty around exposure to crypto in the wider market).

jacquesm 4y ago

They'll be caught shuttling around money from account to account to inflate the apparent amount of reserves on the books by my reading of that Mazar's doc. (to elaborate: Look here, we have 2 billion in this account on Monday, 2 billion on that account on Tuesday and 2 billion over there on Wednesday, so that makes 6 billion total, right?).