Crypto Exchange Binance Under IRS and DOJ Investigation

The US Justice Department (DOJ) and Internal Revenue Service (IRS) have opened an investigation into cryptocurrency exchange Binance for alleged money laundering activities and tax offenses.

Despite the investigation, the DOJ and IRS have not directly accused Binance of conducting or tolerating any illicit activities within the platform.

According to Bloomberg’s report, prosecutors within the DOJ’s bank integrity unit who handle international money laundering cases, are leading the inquiry.

Blockchain data company Chainalysis said that their data showed that Binance processed the most illicit funds compared to other exchanges.

“We take our legal obligations very seriously and engage with regulators and law enforcement in a collaborative fashion. We have worked hard to build a robust compliance program that incorporates anti-money laundering principles and tools used by financial institutions to detect and address suspicious activity,” said Binance on the investigation.

The DOJ and IRS have not yet commented on the investigation while no details have been released if the investigation is related to recent incidents.

After the investigation on Binance was announced, Bitcoin losses have accelerated even more this week.


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