106 Interactions, 2 today
Binance is in hot water once more after Thailand’s Security and Exchange Commission [SEC] filed a criminal complaint against the exchange for operating a digital asset company without a licence.
According to an official announcement made by the agency,
“The Securities and Exchange Commission (SEC) has filed a criminal complaint against Binance, a digital asset exchange platform provider, with the Economic Crime Suppression Division of the Royal Thai Police (ECD) for commission of offence under the Emergency Decree on Digital Asset Businesses B.E. 2561 (2018).”
According to the authorities, Binance was issued a warning letter earlier in April, one asking the exchange to submit a written response to the same. However, Binance failed to do this within the specified time. The statement went on to say that due to the services offered by the exchange, it is liable to “criminal sanction under Section 66 of the Digital Asset Businesses Emergency Decree, i.e., imprisonment for a term of two to five years and a fine of 200,000 to 500,000 baht and a further daily fine not exceeding 10,000 baht for every day during which the contravention continues.”
The filing of the aforementioned criminal complaint is the first step in the commencement of a criminal procedure. According to the SEC, an investigation officer will conduct an investigation before referring the matter to the public attorney.
In Thailand, digital asset enterprises are governed by the Digital Asset Business Emergency Decree, and only firms with the necessary licences are permitted to provide the services that Binance supposedly provided.
This hammer was dropped on Binance after it had already received a warning from the United Kingdom Financial Conduct Authority about functioning without permission in the country. Following this, UK Binance users faced suspension of fiat withdrawals and deposits. However, Binance has finally taken note of the problems and published a notice stating “Binance Markets Limited is not permitted to undertake any regulated activities in the UK.”
However, this is not the end of the list. Japan has often issued warnings to Binance. To compound matters, the Cayman Islands Monetary Authority has begun an enquiry into Binance to see whether it has any operations “operating in or from within the Cayman Islands” that would fall within the purview of its regulatory control.
With more claims coming from authorities throughout the world, it will be fascinating to see if Binance can withstand the onslaught.