Binance CEO Denies CFTC Charges, Calls Them ‘Unexpected & Disappointing’

• Binance CEO Changpeng Zhao has denied all of the CFTC charges brought against him and his exchange.
• The CFTC accused Zhao of insider trading, evading KYC regulations, and trading on its own platform.
• Zhao responded to the accusations by explaining that Binance does not and never will trade for profit or manipulate the market under any circumstances.

CFTC Charges Against Binance

The Commodity Futures Trading Commission (CFTC) hit Binance with a barrage of accusations in a lawsuit on the 27th of March, 2023. The charges included allegations that the CEO had indulged in insider trading and evaded KYC (Know Your Customer) regulations, as well as claims that there were 300 “house accounts” directly or indirectly owned by the CEO.

Changpeng Zhao’s Response

Binance CEO Changpeng Zhao has responded to these charges, denying any wrongdoing on his part. He called the accusations “unexpected and disappointing,” further stating that he was surprised as they had been cooperating with the exchange over a couple of years. Additionally, he clarified that Binance does not and never will trade for profit or “manipulate” the market under any circumstances. Moreover, he added that all company revenues were in crypto and needed to be converted into fiat from time to time to cover expenses related to the functioning of their platform. He also mentioned that there was a 90-day no-trading rule for all employees so as to prevent them from selling coins within 90 days after purchase.

KYC Regulations

Regarding KYC regulations, Zhao stated that Binance had implemented robust KYC procedures which are in compliance with international AML standards including FATF recommendations that have been adopted by multiple countries worldwide such as Japan and Singapore among others. Furthermore, he asserted that it would be impossible for anyone to open an account without passing these regulations first since they are required during registration itself before any user can even access their dashboard/wallet page etc..

Withdrawal Of Funds

Following news of these charges being brought against them, users began withdrawing large sums – around $400 million in 24 hours – leading up to fears about depositors leaving en masse due to lack of trust in its security measures or other issues related thereto.. However, according to several reports from independent sources such as Messari Research & Coin Metrics Inc., this was not indicative of a capital flight but rather a result of traders shifting funds from hot wallets into cold storage or vice versa due to price fluctuations in Bitcoin prices which occurred simultaneously at around this same time period..


In conclusion, it is clear from both sides’ statements regarding this issue that there is no evidence yet indicating wrongdoing on behalf of either party involved but only speculations based off certain information gathered thus far without substantial proof backing them up at present moment hence why more investigations are necessary before coming out with any conclusive results regarding this matter one way or another moving forward