Binance has partnered with Taiwan’s Ministry of Justice Investigation Bureau and the Taipei District Prosecutors Office to address a significant case concerning cryptocurrency-facilitated money laundering.
The inquiry focused on illicit funds totaling nearly NT$200 million, approximately $6 million, as stated by the exchange in a press release.
According to the announcement, Binance’s collaboration, utilizing its Financial Crimes Compliance (FCC) Department’s knowledge and sharing intelligence, was instrumental in apprehending the culprits.
Money Laundering for a Long Period
The criminal syndicate had been facilitating money laundering for fraudulent groups using virtual assets over a prolonged period.
Employing diverse tactics, such as crafting fabricated customer communication records, remittance proofs, and forged identity verification data, they aimed to create the façade of legitimate transactions.
Despite their efforts to conceal their activities, law enforcement agencies eventually caught up with them.
Police meticulously traced and monitored several suspicious cryptocurrency transactions, soliciting pertinent information from various entities, including Binance.
“In response to the request, Binance promptly acted, convening a cross-border online meeting with the investigating officers and prosecutors to formulate a collaborative strategy,” the exchange stated.
“Binance’s seasoned FCC teams offered invaluable insights and recommendations derived from crypto flow analyses, significantly aiding in narrowing down the pool of potential suspects.”
Prosecutor Lo Wei-Yuan from the Taipei District Prosecutors Office, overseeing the case, proceeded to file indictments against nine suspects last month. The charges included aggravated fraud, violations of the Money Laundering Control Act, and breaches of organized crime prevention regulations.
Expressing appreciation for Binance’s collaboration, Prosecutor Lo Wei-Yuan highlighted the exchange’s “active and ongoing partnership with Taiwan’s law enforcement agencies.”
Damien Ho, representing Binance’s Asia-Pacific (APAC) team, reiterated Binance’s dedication to combating financial crime and safeguarding the integrity of the Web3 ecosystem. He affirmed, “We remain steadfast in this commitment and aim to deepen our cooperation with global law enforcement agencies.”
Binance Eyes Global Expansion
Recently, the Financial Intelligence Unit of India (FIU-IND) disclosed that Binance has successfully registered with the regulatory body, marking its return to the country after facing regulatory challenges.
Prior to this development, the exchange had announced its acquisition of a license from Dubai’s regulator, VARA, allowing it to serve retail clients alongside qualified and institutional ones.
According to Bloomberg, the licensing procedure involved Binance’s founder and former CEO, Changpeng Zhao, relinquishing voting control of the Dubai unit.
Additionally, earlier this year, Binance introduced its joint venture crypto exchange, Binance Thailand, in collaboration with Gulf Innova, a subsidiary of Gulf Energy Development.
Binance Thailand, abbreviated as Binance TH, offers a platform for digital asset exchange services, featuring Thai baht trading pairs.
It’s important to highlight that Binance has encountered growing regulatory scrutiny globally.
In the past year, the Commodity Futures Trading Commission (CFTC) filed charges against Binance, alleging the operation of an illegal digital asset derivatives exchange and evasion of federal laws.
Similarly, the US Securities and Exchange Commission charged Binance Holdings LTD and former CEO Changpeng Zhao (CZ) with operating unregistered exchanges, broker exchanges, clearing houses, and engaging in the unregistered offer and sale of securities.
