Binance: Why SEC ban Crypto giant Binance plus Binance CEO Changpeng Zhao wahala wit US financial regulators

Authorities for Nigeria don ban di world biggest cryptocurrency trading platform, Binance from operating in di kontri.

Di Securities and Exchange Commission (SEC) make di announcement on Friday for statement wey dem publish on dia website.

“Di attention of di Securities and Exchange Commission don dey drawn to one website wey Binance Nigeria Limited dey operate, wey dey urge di Nigerian public to trade crypto assets on dia various web and mobile-enabled platforms,” na so di statement tok.

Dis one dey happun as di US sue di CEO of Binance Changpeng Zhao dis week.

SEC say Binance Nigeria Limited no dey registered and di commission no dey fit regulate am and dia operations for Nigeria.

Dis one make di company “illegal”.

Di commission warn say “Any member of di investing public wey deal wit di entity dey do am at dia own risk.

Di Commissiosn say Nigerians need to dey careful of investing in crypto-assets, and crypto-asset and odas wey relate to financial products and services if di service provider or dia platform no dey registered or regulated by di Commission.

“We hereby warn Nigerian investors say investing in crypto-assets dey extremely risky and fit lead to total loss of dia investment.

“By dis circular, Binance Nigeria Limited dey hereby directed to immediately stop to tell Nigerian investors to dia platform in any form whatsoever.”

Goment say dem go kontinu to provide updates on di activities of Binance as e dey happun.

Crypto giant Binance dey accused of engaging in “web of deception” as dem knack dem wit anoda lawsuit by US financial regulators.

Di Securities and Exchange Commission (SEC) for US say di trading platform and di founder Changpeng Zhao ignore di rules wey dey to protect investors to keep operating in di US.

Both di company and oga Zhao dey accused of mishandling customer funds.

Binance say dem go defend di platform “vigorously”.

Di complaint from di SEC na di second lawsuit dem file against di company dis year and follow promises by di US to police di crypto industry more aggressively.

Di company, wey dem start for 2017 and wey dey active in more dan 100 kontris, deny say customer money bin dey at risk.

“While we take take SEC allegations seriously, make e no dey subjectd to SEC enforcement action,” Binance tok, adding say dem bin dey hold tok-tok wit di regulator.

Dem say di legal action na example of regulator “misguided and conscious refusal to provide much-needed clarity and guidance to di digital asset industry”.

Binance, wey dey registered for di Cayman Islands, dey known as di world largest platform for buying and selling cryptocurrencies and oda digital assets.

Di SEC complaint outline 13 charges, wey accuse di company and oga Zhao of unlawfully soliciting investors and customers, misrepresenting di degree of trading on di platform and misleading di public about dia oversight.

Both di crypto company and dia founder also dey alleged to don divert customer funds to companies wey oga Zhao dey control, one Chinese-Canadian billionaire wey pipo for di industry sabi as CZ.

Oga Zhao and Binance “engage in extensive web of deception, conflicts of interest, lack of disclosure, and calculated evasion of di law,” SEC Chair Gary Gensler tok as e dey read di 136-page lawsuit.

“Make di public dey careful in investing in any of dia hard-earned asset wit or on these unlawful platforms,” e add.

Di filing come as US authorities pledge to use existing laws to root out fraud and oda issues in di crypto industry, especially afta di dramatic collapse of Binance rival FTX last year.

Di Commodity Futures Trading Commission, anoda US financial regulator, file dia own lawsuit against Binance for March, accusing dem of operating in di kontri illegally.

Di Department of Justice dey also investigate Binance.