According to several sources, it is reported that Australian regulators searched the offices of Binance Australia amid the ongoing probe of the exchange’s now-defunct derivatives business. Binance Australia is currently working with local authorities on meeting compliance requirements. Some believe that these offices were searched by the Australian Securities and Investments Commission, but it still remains unconfirmed by Binance Australia officials.
The recent actions come a few months after the cancellation of Binance Australia derivatives by the ASIC. Furthermore, the regulator’s review of the derivatives operations includes the firm’s classification of both retail and wholesale clients. In April this year, the company mentioned that it would close the doors of its local derivatives exchange but would keep spot trading open and available for the masses. At the same time, the firm specified that it had to close derivatives positions for a significant percentage of Australian users as they were incorrectly classified as wholesale investors.
A spokesperson from the ASIC clarified that the regulator was incapable of confirming whether or not searches were carried out. It was also mentioned that the regulator was actively reviewing the company instead of making hasty decisions. Moreover, Binance Australia made it evident that it considers it a key priority to meet regulatory standards in an effort to serve its customers in the best way possible.
Tough Days Ahead For Binance?
Binance has made a name for itself as the largest crypto exchange in the world, but its situation in the previous few weeks has been considerably turbulent. The exchange faces a series of probes throughout the globe and has also been dropped by some payment providers as a result of ongoing regulatory actions.
French officials are currently investigating potential money laundering and the provision of illegal digital asset services. Binance, however, made it evident that it fully complies with all laws in France, along with those of other markets it operates.
In June, the SEC accused Binance and its CEO of mishandling the funds of consumers, misleading both customers and investors and repeatedly violating securities laws. However, the exchange mentioned how the allegations made by the SEC are disappointing and has been actively trying to defend its position.
