Binance Faces Criminal Charges From Thailand, Cayman Islands, UK, and Japan

Binance Faces Criminal Charges From Thailand, Cayman Islands, UK and Japan

With the rise of regulations here and there, one country after the other, many cryptocurrency exchanges all over the world are facing extreme hardships. Many prominent exchanges are facing numerous charges against them by regulated countries. Among all, Binance, the world’s largest cryptocurrency exchange, tops the chart.

Thailand Sue on Binance

Thailand is one of the many countries which have a regulated cryptocurrency industry. Upon this, the Securities and Exchange Commission (SEC) of Thailand has now issued a complaint against Binance, the most prominent and largest crypto exchange in the world.

The Thailand government along with the SEC put forth officially on Friday regarding its complaint filed on Binance. In addition, the complaint has been filed to the Economic Crime Suppression Division of the Royal Thai Police (ECD). 

The SEC states Binance has imposed on the public and financiers along with investors of Thailand to use its exchange and services through various social media.

On the other hand, the reason for the criminal charge on Binance, according to the SEC is that it is operating without a valid license issued by Thailand.  Regarding this, the SEC sent a warning letter to Binance asking them to reply within a given time period. However, Binance did not respond on time, and so the SEC finally urged to file a criminal complaint. The initial warning letter was sent by April 5. 

Accordingly, SEC states Binance operates without a proper crypto exchange license, which is against the criminal code of section 66  Digital Asset Businesses Emergency Decree. Furthermore, Binance would have to face imprisonment of 2 to 5 years or a hefty fine of about $156k. In addition, it would have to pay $350 for every day it continues the operations until it’s properly legalized. 

Binance Criminal History

Thailand is not the first or the only one to put charges and file complaints against Binance. 

The Cayman Islands has also issued a notice to Binance. The Cayman Islands Monetary Authority (CIMA), announced officially on July 1, stating Binance has no legal permission or regulation to operate in its country.  Furthermore, CIMA depicts the need for a valid license and permit for crypto exchanges to function and operate in the country. This is according to their latest regulations by the Virtual Asset (Service Providers) Act, 2020.

Likewise, the same was the case with the U.K and Japan. Also, both the official regulatory bodies of the respective countries have issued warnings to Binance for the same issue.

Binance is for sure degrading its epic market value through such issues. Yet, the steps towards obtaining a valid license are still not on the move.

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A Project Engineer by profession, a writer by passion. Especially into the critics and skeptics on cryptocurrency. His fascination towards the crypto world and his personal experience on it has made him a writer with a taste.