The lawsuit is an “incomplete enumeration of facts”: CEO Zhao | coindesk JAPAN

Binance CEO Changpong Zhao posted on his blog on March 27 that the lawsuit filed by the U.S. Commodity Futures Trading Commission (CFTC) that day contained an “incomplete enumeration of facts.”

“I disagree with the views on many of the issues raised in the complaint.”

The complaint alleges that Binance operates a derivatives trading business in the United States and offers trading in Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), stablecoin Tether (USDT) and Binance USD (BUSD). However, they are regarded as securities. The company also instructed employees to use a VPN to disguise their location.

Zhao touched on Binance’s compliance technology, including its Know Your Customer (KYC) program, and said the compliance team has 750 staff, “many of whom have worked in law enforcement or regulatory bodies. , said the company has 16 licenses and authorizations worldwide.

In naming Zhao as a defendant, the CFTC stated that Zhao is a “direct/indirect owner of an entity that has its own trading on Binance” and that it also has “approximately 300 It claims to have been a direct/indirect owner of the Binance account.

Meanwhile, Zhao touched on Binance’s trading policy, stating that employees are not allowed to “sell cryptocurrencies within 90 days” of their most recent purchase and vice versa. “This is to prevent employees from actively trading. We also prohibit employees from trading futures.”

Zhao noted that he has two Binance accounts. One for Binance card and one for cryptocurrency trading.

“I use their services and store my crypto on Binance.com,” he said, adding that he occasionally used crypto “for personal expenses and card payments.”

｜Translation: coindesk JAPAN
｜Editing: Takayuki Masuda
｜Image: Shutterstock
｜Original: Binance CEO Zhao Calls CFTC Suit an ‘Incomplete Recitation of Facts’