Some employees and volunteers of the Binance cryptocurrency exchange provide advice to users from China and other countries on evading KYC checks. It is reported by CNBC with reference to Chinese-language chats controlled by the trading platform.
Called “angels,” the group members are reportedly sharing tips on forging bank documents, falsifying addresses, and hiding their country of origin to bypass controls and get a Binance debit card.
Representatives of the exchange in a comment to the publication stated that “Binance employees are expressly prohibited from suggesting or supporting users in circumvention of their local laws and regulatory policies.”
China has banned regulated institutions from engaging in digital asset transactions since 2017, and in 2021 classified cryptocurrency transactions as illegal financial activities. Despite this, users are trying various ways to circumvent the restrictions.
In early March 2023, representatives of the US Senate Banking Committee sent a letter to Binance asking for detailed information on the KYC/AML policy and money laundering control procedures. They accused the platform of links to criminals, calling it a “hotbed of illegal financial activity.”
Later, the head of Binance, Changpeng Zhao, denied allegations of money laundering.
The exchange’s response to senators, while describing the exchange’s KYC/AML compliance policy, barely touched on the subject of finance.
Source: bitcoinlinux.com
