Binance’s CZ clarifies position after ‘misreporting’ of WazirX ‘acquisition’

Binance CEO Changpeng Zhao claimed that the company “does not own any equity interest in Zanmai Labs, the parent company of Indian cryptocurrency exchange WazirX.” This comes a day after India’s Enforcement Directorate (ED) earlier froze WazirX’s bank balances worth $8 million.

According to a statement, the ED has been investigating WazirX for alleged involvement in a money laundering scheme since last year. On Aug. 5, ED conducted a search on WazirX co-founder and CTO Sameer Mhatre over suspected links to Chinese lending apps.

floodgates open

Binance has been questioned since the legal investigation began after CZ denied its acquisition of WazirX. In fact, CZ claimed on Twitter that the acquisition of WazirX “never completed.”

However, it is worth pointing out that this acquisition is Announce Back in November 2019. A later tweet from CZ confirmed the acquisition, with the executive making it clear that “WazirX, the Indian cryptocurrency exchange owned by Binance…”

Instead, his latest four-part postal Denying this, CZ argued that Binance was the target of a “misreport.”

“On November 21, 2019, Binance published a blog post stating that it had “acquired” WazirX. The deal was never completed. Binance never – at any time – owned the Zanmai Experiment, the entity that ran WazirX any shares in the chamber,” Changpeng Zhao said.

On the other hand, WazirX founder Nischal Shetty refuted CZ’s claims in his own Twitter thread.Shetty allegedly,

“1/ Facts about WazirX and Binance: WazirX was acquired by Binance Zanmai Labs is an Indian entity owned by me and my co-founder Zanmai Labs has a license from Binance to operate INR-Crypto in WazirX to Binance to crypto pairs Operation, process encryption withdrawal…”

Not the first legal battle

Binance is no stranger to legal disputes, as it has been repeatedly accused of legal wrongdoing.according to Bloombergthe investigation into Binance has expanded to potential insider trading and market manipulation.

In fact, a Philippines-based think tank claimed in early July that Binance was a “risk to the public.” The group has filed a new lawsuit for allegedly misrepresenting stablecoin TerraUSD. In early July, developer “CryptoFelon” claimed that Binance CEO Changpeng Zhao was trying to “snatch his domain name.”

Source link

Leave a Reply

Your email address will not be published.