Cayman Islands Monetary Authority (CIMA) initiated investigations regarding Binance

The financial regulator, namely the Cayman Islands Monetary Authority (CIMA) on July 1, 2021 (yesterday) issued an official statement that the cryptocurrency exchange Binance and its related companies Binance Group and Binance Holdings Limited are not registered in the jurisdiction and Binance is not allowed to operate from the jurisdiction of the Cayman Islands:

The Cayman Islands Monetary Authority (the "Authority") wishes to inform the public that Binance, Binance Group and Binance Holdings Limited are not registered, licensed, regulated or otherwise authorized by the Authority to operate a cryptocurrency exchange from or within the Cayman Islands.

Following recent press reports mentioning that Binance, Binance Group and Binance Holdings Limited are cryptocurrency exchange operating companies based in the Cayman Islands, the Authority reiterates that Binance, Binance Group or Binance Holdings Limited are not subject to any regulatory oversight by the Authority.

The Authority is currently investigating whether Binance, the Binance Group, Binance Holdings Limited or any other company affiliated with that group of companies has any activity in or from the Cayman Islands that may be subject to regulatory oversight by the Authority.

Any company registered under the Law on the companies of the Cayman islands 2020 year or by another character created or registered on the Cayman islands, that gives services in virtual assets or services of keeper as business or during business on Islands or within the limits of Islands, must be:(i) registered or licensed under the Law on virtual assets (service providers) 2020 year("VASPA"); or(ii) the existent managed organization that gave a refuse by Organ in accordance with VASPA.

Binance representatives responded to the accusations and said:

"The company has 'always operated' under a decentralized model and has not operated a cryptocurrency exchange in the Cayman Islands. However, we have legal entities registered under Cayman Islands law, conducting legally permissible activities unrelated to cryptocurrency trading. We will work with regulators to address any issues they may have," Binance noted.

In the name of ScamBinance, we'll take the liberty of reminding you which "decentralized model" we're talking about. When China banned Binance from the country and launched an investigation into the illegal placement and sale of Binance securities (2017), Binance fled to Japan - when the Financial Services Agency of Japan (FSA) demanded a license from Binance Casino (2018) - Binance abruptly fled Japan allegedly to Malta. But the "decentralized model," namely operating without a license, without regulation, clandestinely, illegally for Binance and in Malta ended with another escape in 2020 after statements from the Maltese Financial Services Authority (MFSA). There was an attempt by Changpeng Zhao to be based in Hong Kong, but alas this fragment of the "decentralized underground business model" was also quickly foiled in Hong Kong - the Hong Kong Securities and Futures Commission (SFC) required Binance to be licensed, after which Binance (legally) fled to the Cayman Islands.

By any method and way Binance hid the legal structure from regulators and users, registering a company for each country, which sometimes did almost nothing (for example, as in Australia - only deposits and withdrawals from the balance), the main "dirty" work was done by a company from the Cayman Islands - Binance Holdings Limited. Interestingly, Changpeng Zhao did not want to disclose the location of Binance's headquarters, moreover Binance has not answered/not answered questions about the legal and physical location of the company to this day.

The goals and objectives of Scambinance.com in 2021 have accelerated, you could say we have gained a new speed with sending out complaints to law enforcement and regulators around the world. And we can repeat for the hundredth time, Binance engages in criminal, illegal, unregulated activities, manipulates the market and overstates volumes hundreds/thousands of times of the real one, provides fraudulent financial instruments, engages in legal forgery, fraud - this is the minimum package of accusations of this pseudo-exchange and its owners Guangying Chen (Heina Chen) and Changpeng Zhao.

02.07.21

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