A Brazilian congressional committee has recommended the indictment of Binance CEO Changpeng Zhao and three other executives following an investigation into financial pyramid schemes in Brazil. The committee’s 500-page report accuses Zhao and the executives of fraudulent management practices, operating without sufficient authorization, and offering securities trading without authorization. The report claims that Binance and Zhao set up an opaque network of legal entities to evade compliance with the law. The committee also recommends the indictment of 45 other individuals linked to various crypto companies. The report suggests that Binance’s operations in Brazil are surrounded by suspicion, and it calls for investigations into tax evasion, money laundering, and the financing of organized crime and terrorism. The committee also urges an investigation into Binance’s sale of derivatives products, alleging repeated violations of market regulations. These recommendations are not legally binding, and further action will be determined by the police and regulatory bodies. Binance has stated its commitment to collaborating with the committee and local law enforcement. This regulatory scrutiny comes as Binance faces lawsuits and regulatory actions in other jurisdictions, including the United States and Australia.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | South America |
| Countries | 🇧🇷 🇺🇸 🇦🇺 🇨🇦 |
| Sentiment | neutral |
| Relevance Score | 0 |
| People | Changpeng Zhao, Daniel Mangabeira, Thiago Carvalho, Guilherme Haddad Nazar, Ricardo Silva |
| Companies | 18K Ronaldinho, Brazil’s Securities and Exchange Commission (CVM), 123milhas, Federal Public Ministry, Brazilian congressional committee, Binance |
| Currencies | Bitcoin |
| Securities | None |
