The USA authorities are investigating Binance Holdings to find out whether the company is engaged in insider trading or market manipulation activities.
As Bloomberg announced on Friday, the probe is confidential. The media platform got the news from the people familiar with the case. They informed that the process includes exploring whether Binance or its employees have made a profit by taking advantage of their clients. The scrutiny involves Commodity Futures Trading Commission officials.
According to the report, CFTC has been attempting to communicate with potential witnesses lately. Commenting on the news, Binance representative told Bloomberg that their approach towards a rigged market is with "zero-tolerance" and the company relies on a strict value system to prevent any misconduct.The security team has guidelines for investigating wrongdoings and holding workers accountable. If this happens, firing is the minimal repercussion in the case.
The recent investigation may not result in any official processes and Binance isn't accused of wrongdoings. The CFTC and the Justice Department have been exploring the company for several months, and it's unclear if they will pursue enforcement actions or not.