Cryptos are a digital version as opposed to paper notes. which do not exist in reality and also through which money can be transacted secretly where the address of the customer or the sender is completely hidden. And using this opportunity, different fraudsters are cheating in different ways. However, these frauds are currently being accused against quite popular exchanges as well. As we know currently the most popular exchange site is Binance. Recently, the French authorities charged this popular exchange with money laundering and tax fraud. In addition to filing charges against them, cryptocurrency exchange Binance is currently investigating.
[source](https://pixabay.com/photos/stock-market-trading-stocks-6531146/)
As these transactions are conducted in complete secrecy, many times these transactions range from money laundering to illicit drug investments to terrorist financing. Such have been the allegations leveled against the popular exchange site, with the Economic and Financial Crimes Department of the Paris Public Prosecutor's Office claiming that it has launched a money laundering investigation into the crypto exchange's activities from 2019 to last year for alleged involvement in drug trafficking. Binance users have also said that the exchange incorrectly communicated information to them, resulting in investment losses. However, French authorities have been investigating the local arm of the exchange since at least 2022 for alleged money laundering and other illegal activities against the exchange site.
French authorities appear to have stepped up regulatory scrutiny for crypto service providers to allow each country to control illegal transactions and stop them from money laundering to terrorism financing, but under the proper licensing regime for companies to operate in the country.
Approving. More than a month after the French investigation into Binance, crypto exchange ByBit announced that it plans to close operations in the country by January, citing regulations. Although currently it is widely used and one of the most popular and powerful exchanges but it is still facing lawsuits and investigations internationally.
Binance has faced various legal challenges not only in France but also in the US. The US Securities and Exchange Commission filed a civil suit against the exchange last year and is still pursuing it. Former Binance CEO Changpeng "CZ" Zhao served four months in federal prison in 2024 after pleading guilty to a felony charge as part of a deal with US authorities. Although Zhao has largely stepped down from his position at the exchange, the former CEO will "take an active role" with his tech incubator. However, if you want to know more about that, you can read this [news](https://cointelegraph.com/news/france-investigation-binance-money-laundering-tax-fraud) .
