Binance.US has recently bolstered its compliance framework to address regulatory criticisms. The company has hired hundreds of former law enforcement and regulatory professionals.
By Anisha Pandey
Edited by Julia Sakovich
Updated
3 mins read
Binance.US has recently revealed plans to reinstate USD services by early 2025. This marks a major step for the exchange, which has operated under restricted banking access since June 2023 due to mounting regulatory pressure.
In a recent interview, interim CEO Norman Reed emphasized that the resumption of fiat trading is not a question of “if, but when”.
The suspension of USD services began in mid-2023 when the SEC, under Gary Gensler’s leadership, filed a lawsuit against Binance.US. Allegations included failure to register as a clearinghouse and broker, wash trading, and commingling of customer funds with Binance’s global operations. The fallout saw the exchange lose operating licenses in several states and ultimately restrict its services in the US market after Binance reached a $4.3 billion settlement with the Department of Justice.
Reed, a former SEC enforcement official, framed the company’s challenges as part of what he described as “Operation Chokepoint 2.0” — a concerted effort by certain US government factions to cut off crypto firms from essential banking services. Meanwhile, recent revelations have also fueled accusations against regulatory agencies of intentional debanking efforts against crypto firms. Coinbase’s Chief Legal Officer Paul Grewal recently cited the need for transparency in these actions.
Despite these hurdles, Binance.US has continued to provide services to its users, offering support for 160 cryptocurrencies and staking for over 20 digital assets. Reed stated these efforts as evidence of the platform’s resilience. He also revealed that the exchange is planning to expand custody services and wallet solutions, signaling a forward-looking approach to user needs.
It is important to note that Binance.US has recently bolstered its compliance framework to address regulatory criticisms. The company has hired hundreds of former law enforcement and regulatory professionals. It has also implemented robust anti-money laundering (AML) and know-your-customer (KYC) measures, including ID verification and selfie authentication.
Additionally, Binance.US’s Investigations, Risk, and Compliance teams actively partner with local and federal agencies to assist with crypto-related investigations and provide blockchain training.
Reed’s comments come at a time when the US crypto community is eagerly looking forward to the shift in regulatory agencies’ structures after the reelection of crypto-friendly Donald Trump. Trump has already announced a series of regulatory appointments aimed at building a more favorable environment for the digital asset industry.
Reflecting on the challenges of the past 18 months, Reed expressed confidence that the SEC has found no evidence of wrongdoing. “Now that we’ve survived, our goal is to help crypto thrive and empower all Americans with freedom of choice,” he said, signaling a new chapter for Binance.US.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
With a background in finance and a passion for innovation, Anisha has been covering the ever-evolving world of crypto for over four years. Her deep understanding of the crypto market have made her a trusted source for analysis and news. Whether it's dissecting the latest trends or decoding whitepapers, Anisha is dedicated to bringing clarity to the world of digital assets.
