In a significant move that has garnered global attention, France has initiated a judicial investigation into Binance, recognized as the world’s largest cryptocurrency platform. The probe zeroes in on serious allegations, including money laundering and tax fraud, with an additional focus on money laundering linked to drug trafficking activities.

This investigation emerged in response to complaints from users who reported substantial financial losses after engaging in investments facilitated by the platform. Complainants have criticized Binance for inadequate communication and alleged that the platform operated without securing the necessary regulatory approvals.

The inquiry spans activities from 2019 to 2024, scrutinizing potential violations not only in France but across the broader European Union. Despite the gravity of the allegations, Binance has yet to issue a direct response to the investigation.

This legal scrutiny adds to a growing list of lawsuits and investigations confronting Binance. Notably, last year saw the platform’s founder and former CEO, Changpeng Zhao, face imprisonment by an American judge for several months due to breaches of anti-money laundering regulations. The unfolding developments underscore the increasing regulatory pressures faced by major entities within the cryptocurrency sector as global authorities intensify their efforts to enforce compliance and transparency.