Binance is under investigation against money laundering charges

Binance Holdings is one of the largest cryptocurrency exchanges in the world and now is under federal investigation. The charges? Money laundering, and tax evasion. This is a shocking event, and the cryptocurrency market has reacted accordingly.

Bitcoin’s price was already down due to a post posted by Tesla stating that it will not accept Bitcoin payments for car purchases. Due to this event, the exchange closed down to 6.5%. Binance is a Cayman Islands-based organization, and it is being investigated by the US Justice Department and Internal Revenue Service. The department is mainly looking into individuals who have insights into the business’s internal workings.

As per Binance, the company has a strict anti-money laundering scheme in place. Despite that, if anyone has some queries, the company will assist them and the law department as well.

Authorities have expressed their concerns about the role of cryptocurrencies in illegal activities, such as money laundering, hacking, and tax evasion. However, details about the investigation are not all, however, the market is reacting adversely to it. Market analyst Mark Palmer thinks this might be an anti-cryptocurrency action taken by the US government.

It is listed on Coinbase, and it has already assisted lawmakers with their investigation in the past. Experts believe that this can serve as positive news for future investors.