Binance investigated in France for aggravated money laundering.
Binance’s French division is currently being investigated by local authorities for providing digital asset services illegally and engaging in acts of aggravated money laundering, according to the Paris public prosecutor’s office. The investigation is related to the illegal operation of digital asset services before receiving regulatory approval in May 2022, as well as participating in investment operations, concealment, and conversion, all of which have generated profits. Binance is registered as a digital asset service provider with the French financial regulator, the AMF. The company is facing a lawsuit from the U.S. Securities and Exchange Commission for allegedly not registering as a trading platform and selling unregistered securities. The French division is suspected of having solicited French customers outside the legal framework until 2022. The Paris public prosecutor confirmed that the specialized interregional jurisdiction of Paris referred the case to the SEJF, an anti-financial crime arm of the government, in February 2022. Binance has stated that it will not comment on the specifics of law enforcement or regulatory investigations. Earlier on Friday, Binance announced that it would be leaving the Netherlands after failing to obtain an anti-money laundering license. France has been courting crypto firms, and the European Union is preparing to regulate crypto under its recently sealed Markets in Crypto Assets (MiCA) framework.