SEC Takes Legal Action Against Binance and CEO Over U.S. Rule Violations

Bank records show that a senior Binance executive, Guangying Chen, controlled five bank accounts belonging to Binance.US, the purportedly independent US affiliate of the cryptocurrency exchange, including an account that held American customers' funds. This allowed Chen and her team to move funds held in the bank accounts, and employees at Binance.US had to ask Chen's team to process payments, even to cover the firm's payroll. Binance.US has denied that Binance ever operated its bank accounts, but the new findings offer further detail into how Binance exercised tight control over Binance.US, despite both firms maintaining that they have always operated independently.