• Posted by: Evans Asare
Binance Fined $4.4 Million in Canada

Binance fined $4.4 Million in Canada for violating anti-money laundering laws. Binance has been fined in Canada for violating the country’s regulations even though the firm exited the country in 2023.

The FINTRAC released a statement following the punitive action on Binance. The post disclosed that the crypto exchange is being fined for breaching two Canadian rules that were identified over the course of a compliance activity last year.

Why they were fined:

In its first violation, Binance, headed by Richard Teng, has been accused of failing to register itself as a foreign money services business (FMSB) in Canada. “It should be noted that Binance Holdings Limited was deemed to be an FMSB and was required to be registered with FINTRAC up until September 25, 2023, when it officially ceased all operations in Canada. Up until that day, Binance Holdings Limited was in violation of its registration requirements,” the statement said.

Binance is also facing action for failing to report 5,902 accounts of large virtual currency transactions between 2021 and 2023, as is expected from crypto firms in Canada under the anti-money laundering laws.

“Binance failed to report the receipt from a client, of an amount in virtual currency of $10,000 (roughly Rs. 8.5 lakh) or more in the course of a single transaction, together with the prescribed information that occurred on 5,902 separate occasions during the period of June 1, 2021, until July 19, 2023,” FINTRAC said in its statement.

Has Binance responded to these fines?

Binance is yet to publicly respond to the fine imposed by FINTRAC following the probe into a violation of anti-money laundering regulations in Canada.

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Author: Evans Asare

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