Source: Jake Chervinsky, Crypto Law & Policy Newsletter, Q1 2021 in Review.
News leaked of an ongoing CFTC investigation regarding Binance and its alleged practice of offering non-compliant derivatives products to US traders. The allegations somewhat resemble those about BitMEX last October, which resulted in both a CFTC enforcement action and a DOJ criminal prosecution. Binance is one of several exchanges known for pursuing a strategy of so-called “regulatory arbitrage,” a concept that US regulators are unlikely to credit.
Read more: Jake Chervinsky, Crypto Law & Policy Newsletter, Q1 2021 in Review.