North Dakota Joins List of States Revoking Binance.US's Money Transmitter License
Summary:
North Dakota has become the seventh U.S. state to retract the money transmitter license of Binance.US for its violation of state money transmitter laws. In the wake of his conviction for contravening federal anti-money laundering laws, Changpeng Zhao, Binance's main owner, fell short of the state's qualifications for a new money transmitter license. Other states that have either retracted or refused to renew the company's license include Alaska, Florida, Maine, North Carolina, and Oregon.
North Dakota has become the seventh U.S. state to withdraw the money transmitter license of Binance.US, the American limb of crypto-giant Binance. Lise Kruse, the Commissioner for North Dakota Department of Financial Institutions (DFI), disclosed on 17th June that Binance.US, legally known as BAM Trading Services, violated the state's money transmitter laws. According to the details of the revocation order, the illegality of Binance's activities and the subsequent federal conviction of its founder, Changpeng Zhao, in November for running an unlicensed money transmission business are the primary causes for the license withdrawal. Kruse further elaborated that Zhao, as the central proprietor of Binance, was recently convicted for contravening federal laws against money laundering.
"The Respondent no longer meets the qualifications and requirements applicable to a new applicant for a money transmitter license", states the official revocation order. Via the North Dakota DFI, the revoked party has been officially notified that it has the right to request a hearing to repeal the revocation order within 30 days, which would lapse on 17th July 2024 - if not addressed the revocation will be effective.
Following the steps of Alaska, Florida, Maine, North Carolina, and Oregon, North Dakota is now the latest state that has either retracted or refused to renew BAM Trading Services' request for a license renewal. Florida triggered this wave of bans on Binance.US in November, shortly after founder Zhao pleaded guilty. Other states to enact the ban shortly afterwards include North Carolina and Maine who enacted the ban on Jan. 23 and Jan. 29, respectively.
It's noteworthy that Binance.US never garnered licenses from New York, Texas, Vermont and Hawaii, with new user entries also momentarily stalled in Connecticut, Georgia, Ohio, Minnesota and Washington state as per Binance.US's website.
Published At
6/19/2024 7:52:18 AM
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