Summary
- Binance appoints new general counsel amid intensifying legal troubles.
- IRS investigating American crypto exodus to Puerto Rico.
- Celsius’s Mashinsky arrested, SEC files securities fraud charges – reports.
Binance Appoints New General Counsel
Binance has appointed a new general counsel as the company faces increasing legal issues. The appointment follows rumors that senior Binance executives would resign due to ongoing regulatory challenges. Meanwhile, BlackRock CEO Larry Fink has likened crypto to “digitizing gold” and praised Bitcoin as an “international asset.”
IRS Investigating Crypto Exodus To Puerto Rico
The IRS is currently investigating an American crypto exodus to Puerto Rico. This is part of a larger effort from the US government to crack down on tax evasion and monitor cryptocurrency activity. Crypto crime has decreased by 65% in 2023, though ransomware remains prevalent.
SEC Files Securities Fraud Charges Against Celsius
The U.S. Securities and Exchange Commission (SEC) has filed securities fraud charges against Alex Mashinksy and Celsius Network. The SEC alleges that Mashinsky and Celsius manipulated CEL’s token value and misled investors about the financial success of their business. Additionally, the Commodity Futures Trading Commission (CFTC) found that Celsius Network violated Federal commodities laws with its operations, resulting in a $50 million penalty for the company.
Mashinsky Arrested
Alex Mashinksy, co-founder and former CEO of Celsius Network, was arrested during the early hours of today according to Bloomberg sources familiar with the matter. The criminal charges against him stem from his involvement with Celsius‘ alleged fraudulent activities outlined in the SEC’s case against them.
Conclusion
As regulation continues to tighten around cryptocurrencies, companies like Binance are taking steps to ensure compliance with governmental protocol while also looking towards innovative solutions like appointing new general counsels or utilizing services like those offered by BlackRock CEO Larry Fink in order to remain competitive within their industry . On the other hand, entities such as Celsius are facing harsh consequences for allegedly violating federal commodities laws alongside other instances of securities fraud which could result in further criminal penalties for those responsible .