Binance a 'Hotbed of Illegal Financial Activity,' Senators Claim: WSJ
A bipartisan grouping of three US Senators has written to Binance asking for details on its money laundering controls, accusing the crypto exchange of being a "hotbed of illegal financial activity," according to the Wall Street Journal.
According to the Mar. 1 letter to Binance Chief Executive Officer Changpeng "CZ" Zhao, the group requested details of the company's balance sheets, internal procedures and any communications about alleged efforts by Zhao to limit compliance.
The letter, from Senators Elizabeth Warren (D-Ma), Chris Van Hollen (D-Md) and Roger Marshall (R-Ks) said that Binance and related entities "have purposefully evaded regulators, moved assets to criminals and sanctions evaders and hidden basic financial information from its customers and the public," WSJ reported.
The exchange is reportedly bracing itself for significant fines for past conduct. A Binance spokesperson did not immediately respond to CoinDesk's request for comment.
Read more: Binance Bracing Itself for Fines From US Regulators to Settle ‘Past Conduct’: WSJ