Category Archives: Binance
Binance ‘hopeful’ all charges against Tigran Gambaryan will be dropped – Blockworks
The tax charges brought by the Nigerian government against Binance executives Tigran Gambaryan and Nadeem Anjarwalla were dropped Friday, a family spokesperson told Blockworks.
Gambaryan continues to be detained in a Nigerian prison on other charges of money laundering. Anjarwalla escaped Nigerian detention earlier this year.
Binance still faces tax charges from the government and is also a defendant alongside Anjarwalla and Gambaryan in the governments money laundering case.
We are relieved that the Federal Inland Revenue Service (FIRS) have served and filed amended charges today, resulting in tax charges against Tigran Gambaryan being dropped, further illustrating that Tigran is not a decision-maker at Binance and does not need to be held in order for Binance to resolve issues with the Nigerian government. We await the courts ruling on this, discharging Tigran from this matter completely, a Binance spokesperson told Blockworks.
Binance reiterated that it wants to resolve these matters with the government transparently and cooperatively.
Read more: Binance executive denied bail in Nigeria
Gambaryan was denied bail last month and is being held at Kuje Correctional Facility. According to the family spokesperson, Gambaryan has been sick with malaria since May 23. Hes now developed pneumonia.
Multiple members of Congress wrote to President Joe Biden to secure Gambaryans release earlier this month, while Axios reported that former federal agents asked Secretary of State Anthony Blinken to bring Gambaryan back to the US.
The next hearing for the money laundering charges is set to be held on June 19.
Read more: Binance deeply disappointed about the ongoing detention of an executive in Nigeria
In order for Tigran to be allowed to go home to his family, we are hopeful that the Economic and Financial Crimes Commission (EFCC) will take similar steps. Tigran has been detained for 110 days, and his physical health is deteriorating, including a recent malaria and pneumonia diagnosis. Binance is committed to continuing to work with the Nigerian government to resolve this, a Binance spokesperson told Blockworks.
Yuki Gambaryan, the Binance executives wife, said her biggest concern is Gambaryans deteriorating health.
I sincerely hope the Nigerian authorities will now see how unnecessary it is to keep Tigran at Kuje. I am praying that they now swiftly drop the EFCC charges against him so that this nightmare can finally come to an end, she continued.
Gambaryan and Anjarwalla were detained earlier this year after the two met with Nigerian officials. The government has claimed that $26 billion passed through Binance Nigeria and said it was exploring a possible fine levied against the company.
Binance has since ended support for the Nigerian naira. Last month, Interpol Africas Garba Umar said that the agency had drafted paperwork for Anjarwalla.
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Binance 'hopeful' all charges against Tigran Gambaryan will be dropped - Blockworks
ZkSync defends Sybil measures as Binance offers own ZK token airdrop – TradingView
Ethereum zero-knowledge layer-2 scaling platform zkSync has continued to defend criticism over the criteria for its zkSync (ZK) token airdrop, slated to launch on June 17.
In a frequently asked questions (FAQ) document updated on June 15, ZK Nation answered 15 questions explaining why some groups were eligible for the token while others werent.
One of its longer answers focused on its detection and prevention measures for Sybil attacks, which occur when one entity creates and uses a large number of wallets to farm an airdrop. This was a continuing pain point among airdrop claimants recently.
ZkSync reiterated it had used explicit Sybil detection in addition to a unique airdrop design to ensure the highest number of organic users were rewarded, but it also noted that this has led to some Sybil wallets being let through.
It explained some Sybils can employ sophisticated algorithmic strategies that are indistinguishable from real people.
They fund accounts from many distinct exchange addresses, never interact with each other, use randomized amounts, and use software to randomize daily patterns of human behavior, and even perform activities unique to the project (for example, using zkSync paymasters), it explained.
The majority of such bots are completely undetectable, even with the most advanced anti-Sybil methodology.
ZkSync claimed that being too aggressive with filtering could eliminate some Sybils but also might falsely flag many organic users, so it chose to reward organic users with high likelihood by using a combination of value scaling and multipliers.
Essentially, this assigned fewer eligibility points to wallets with low funding (a sign of Sybil behavior) but would give them a multiplying boost if there was onchain behavior that signaled human behavior.
ZkSync explained that Sybils typically creates many accounts but uses small amounts of crypto to fund each account to be capital efficient.
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Real people, on the other hand, tend to concentrate most of their wealth in just a few accounts, making their balances much larger compared to bots, it explained.
There will be Sybils in every airdrop, it concluded. However, for every example of Sybil that can be identified, there are hundreds that were excluded.
Binance offers ZK listing and distribution amid ongoing concerns
It comes as crypto exchange Binance has offered its own ZK airdrop targeted at those not eligible for the official airdrop on June 17.
The exchange said it will offer 10.5 million ZK tokens to over 52,000 Binance users in light of the ongoing concerns from the community around ZK token distribution.
Eligible claim addresses need to have initiated at least 50 transactions on zkSync Era between February 2023 and March 2024, conducted transactions in at least seven months in that period, arent a centralized exchange, bridge or contract address and werent eligible for the official airdrop.
However, each Binance user will only be given 200 ZK each.
The exchange will also open the ZK token for trading from June 17, including trading pairs with Bitcoin (BTC), Tether (USDT) and First Digital USD (FDUSD).
The ZK token airdrop will launch on June 17. According to Whales Pro, the ZK token istrading in the pre-market for $0.36 at the time of writing.
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ZkSync defends Sybil measures as Binance offers own ZK token airdrop - TradingView
Binance starts trading a new token; Prices surge higher By Investing.com – Investing.com
Investing.com - Binance, the largest cryptocurrency exchange in the world, has expanded its trading options by introducing new trading pairs for and . Starting today, Notcoin will be traded against the Brazilian Real () and Dogwifhat against the Euro ().
Meanwhile, the value of "Notcoin" has surged by up to 16% in the past few hours after the trading pair was listed.
At the time of writing, the token has risen by 10% in the last 24 hours, trading at $0.018. It is among the biggest gainers today, with its market value increasing to $1.84 billion.
The small cryptocurrency also saw a 65% increase in its 24-hour trading volume, reaching $1.26 billion. However, the token is trading 37% below its all-time high of $0.0289, which was reached on June 2.
The new surge in "Notcoin" comes as the global cryptocurrency market returns to the green, with the total market cap now around $2.46 trillion.
Meanwhile, has also seen a slight increase over the past 24 hours, now hovering around $67,814. , the second-largest cryptocurrency by market cap, is trading at around $3,500.
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Binance starts trading a new token; Prices surge higher By Investing.com - Investing.com
Former Binance CEO CZ reportedly owns 64% of BNB supply – crypto.news
Forbes claims that former Binance CEO Changpeng Zhao is the 24th richest person globally due to his BNB token ownership.
Zhao reportedly owns 64% of Binances BNB token circulating supply. At current prices, the 94 million coins Zhao is said to control is worth more than $56 billion.
The report also states that he owns an approximate 90% stake in the Binance exchange.
While the crypto exchange has been the subject of concerning headlines, resulting in Zhao stepping down from a leadership role and serving a prison sentence. Yet at the same time, BNB has surged this year.
CoinGecko data showed a 141% price increase in the past 14 months. The cryptocurrency broke its all-time high (ATH) earlier this month, peaking at $717.
BNB has returned 1,497,749% since it launched as an initial coin offering in 2017, serving as a backbone for Binances debut in the same year.
In comparison, the S&P500 has posted 3,540% in gains throughout its existence as an investment index. Reports from crypto.news also suggest that BNB could retest its ATH soon and continue its bullish momentum to higher prices.
Zhaos fortune could swell even further as he serves a four-month jail term in a California prison.
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Former Binance CEO CZ reportedly owns 64% of BNB supply - crypto.news
Binance to Support Token Merge for Fetch.ai (FET), Ocean Protocol (OCEAN), and SingularityNET (AGIX) – Blockchain.News
Binance, a leading cryptocurrency exchange, has announced its support for the upcoming token merge involving Fetch.ai (FET), Ocean Protocol (OCEAN), and SingularityNET (AGIX). These tokens will be merged into a single token known as Artificial Superintelligence (ASI), according to the official announcement from Binance.
Starting from July 1, 2024, at 03:30 (UTC), Binance will suspend deposits and withdrawals for Fetch.ai (FET), Ocean Protocol (OCEAN), and SingularityNET (AGIX). Users are advised to ensure their deposits for these tokens are fully processed before this time. Binance will handle all technical requirements for users involved in the token merge event.
Once the merge is complete, the new ASI token will be listed on Binance with the following conversion ratios:
Binance will delist and cease trading on all spot trading pairs for FET, OCEAN, and AGIX at 03:00 (UTC) on July 1, 2024. The new ASI spot trading pairs will be available starting from July 5, 2024, at 08:00 (UTC).
Binance Futures will close all positions and conduct an automatic settlement on the FETUSDT, OCEANUSDT, and AGIXUSDT USD-M Perpetual Contracts at 09:00 (UTC) on June 25, 2024. Users are advised to close any open positions before this time to avoid automatic settlement.
Binance Margin will delist the cross and isolated margin pairs for AGIX, FET, and OCEAN at 06:00 (UTC) on June 26, 2024. Users are advised to close their positions and transfer their assets from Margin Wallet to Spot Wallet before this time.
Binance Loans will close all outstanding loan positions for FET, OCEAN, and AGIX at 03:00 (UTC) on June 25, 2024. Users are advised to repay their outstanding loans before this time to avoid potential losses.
Binance Simple Earn will cease support for FET, OCEAN, and AGIX Simple Earn Flexible and Locked Products from 03:00 (UTC) on June 28, 2024. Existing subscriptions will be automatically redeemed and credited to users Spot Wallets.
Binance Pay, Gift Card, Convert, Auto-Invest, and Buy Crypto services will also be affected, with delistings and suspensions occurring between June 18 and July 1, 2024.
For more detailed information on the token merge and its impact on various Binance services, users can refer to the official Binance announcement.
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Binance Coin Price Prediction, Polygon NFTs: BlockDAG Best Long Term Crypto – The Merkle News
BlockDAG Elevates Its Status As The Leading Long-Term Crypto, Outperforming BNB & Polygon
As this week unfolds, BNB has reached unprecedented heights, increasing its market cap and sparking bullish Binance Coin price predictions. Concurrently, Polygon is experiencing a surge in NFT transactions, with collections like Moon Girl quickly gaining popularity. Amid these exciting times, BlockDAG is capturing attention with its remarkable presale, now surpassing $50.6 million. BlockDAGs latest demonstration highlighted its innovative Low Code/No Code ecosystem, underscoring its goal to achieve a $30 target by 2030, positioning it as a top choice for long-term crypto investment.
Binance Coin (BNB) has soared to a new all-time peak of $710, pushing its market valuation past the $100 billion threshold. This rise has caught the eye of analysts, who predict that BNB might soon exceed the $1,000 barrier. However, the Relative Strength Index (RSI) signals a possible market correction on the horizon, as BNBs RSI is currently above 70, suggesting it might be overbought.
Despite this, BNB maintains a strong market position, with its price stable around $700. Prominent analysts such as Sheldon The Sniper and Bluntz are optimistic about BNBs future, bolstered by its widespread integration within the Binance ecosystem, enhancing its long-term value.
Polygon (MATIC) is making substantial progress in the NFT market. The Moon Girl collection recently led CryptoSlams NFT sales chart with $1.36 million in daily sales, marking the second day in a row of hitting the million-dollar mark. Other collections, including Guild of Guardians Avatars and Bitcoin Puppets, have also shown strong performance, with sales of $854,586 and $818,729, respectively.
This strong showing has boosted Polygons daily sales volume to more than $2.7 million, outstripping Solana. This indicates Polygons growing prominence in the NFT domain, where its scalable and effective solutions have established it as a favored platform for NFT ventures, thereby increasing interest and activity.
BlockDAG recently delivered its second keynote, drawing significant investor interest by showcasing its tech innovations. The focus was on BlockDAGs Low Code/No Code ecosystem, tailored to streamline blockchain development. This platform allows users to easily create, manage, and deploy software applications through simple drag-and-drop actions. By easing the development process and reducing the necessary time, BlockDAGs system makes decentralized application creation more accessible, reinforcing its position as a prime candidate for long-term crypto investment.
BlockDAGs formidable presale, which has amassed over $50.6 million, demonstrates solid investor trust. The presale has moved through 18 batches, selling over 11.4 billion coins, reflecting confidence in BlockDAGs robust platform and comprehensive development roadmap. This presale is projected to lead to a potential ROI of 30,000x by 2030, bolstered by continual updates and upcoming milestones, such as the X1 App release and the mainnet launch.
While BNBs integration within the Binance ecosystem and Polygons scalable solutions for NFTs and DeFi projects are notable, BlockDAG differentiates itself with its impressive presale achievements, advanced technology, and strong growth prospects. The recent keynote emphasizing its Low Code/No Code ecosystem, which facilitates straightforward blockchain development, has attracted considerable investor interest. Having raised over $50.6 million in its presale and with the potential for a 30,000x ROI by 2030, BlockDAG stands out as the superior long-term crypto investment. For those considering investments in Binance Coin price predictions and Polygon NFTs, BlockDAG presents an exceptionally attractive option.
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Disclosure: This is a sponsored press release. Please do your research before buying any cryptocurrency or investing in any projects. Read the full disclosurehere.
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Binance Coin Price Prediction, Polygon NFTs: BlockDAG Best Long Term Crypto - The Merkle News
How Kraken’s index wizard is besting Coinbase and Binance in the $58bn Bitcoin ETF race – DLNews
Sui Chung couldnt believe what he was seeing.
It was late one night in February, and Chung, the CEO of a financial outfit called CF Benchmarks, was eyeballing numbers on his laptop.
I pulled up my revenue forecast, Chung said in an interview at a coffee shop in Londons Soho neighbourhood. By the time Id done all the maths it was 1 am, and I was like bloody hell.
More than $1.4 billion had poured into 11 new Bitcoin exchange-traded funds in the last few weeks, according to data in the Bitcoin Reference Rate, or BRR, an index produced by his firm.
Six of those funds issued by Wall Street giants BlackRock, Ark Invest, and Franklin Templeton, among others, track the BRR index.
This meant Chungs company was about to rake in loads in licencing revenues.
In one month, the Bitcoin ETFs had hit Chungs one-year target. And the Bitcoin ETF boom was just getting started.
The performance also demonstrated the prescience of Kraken, the San Francisco-based crypto exchange. In 2019, Kraken acquired CF Benchmarks for a nine-figure sum.
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Now, investors have ploughed almost $58 billion into Bitcoin ETFs CF Benchmarks is sitting on a cash cow as licence fees pile up.
Even better, neither Binance nor Coinbase, Krakens archrivals in the crypto exchange arena, have index businesses of their own.
And CF Benchmarks has excluded pricing data from Binance, worlds biggest and most liquid exchange because it doesnt meet its criteria.
While CF Benchmarks doesnt disclose how much its earning, its poised to generate fees for some time.
S&P Dow Jones, for instance, charges clients around 3 basis points, or 0.03%, on assets based on its S&P 500 indexes, according to a 2022 paper.
Consider just one of those ETFs State Streets is managing $541 billion. That means S&P is bagging $162 million in fees from that one fund.
In April, Hong Kong approved Bitcoin and Ethereum ETFs and the three issuers Harvest Global Investments, China AM, and Bosera AM use the BRR as the benchmark for their offerings.
Without indexes, there wouldnt be ETFs. Companies such as BlackRocks iShares unit manufacture indexes to support ETFs. And they track everything from stocks to bonds to commodities such as gold and oil.
Benchmark indexes such as S&P 500 support a panoply of ETFs and have become fixtures in the $40 trillion retirement market.
Somewhere along the way, Chung realised that there was an opportunity create an index for Bitcoin.
With a background in benchmarking, Chung was steeped in the inner workings of the financial data that powers capital markets.
In 2016, Crypto Facilities, a London-based crypto derivatives exchange, realised it needed an index to help settle crypto futures contracts at the right price.
It was also in talks to provide this index to the CME, the derivatives trading giant in Chicago, for its forthcoming Bitcoin futures product.
Chung was brought on to create the index with just four software developers, eventually creating a business under Crypto Facilities umbrella in 2018.
Few Bitcoin indexes existed at the time, so Chungs team was working with no blueprint, he said.
He thought it could look very much like indexes from dominant providers S&P or MSCI. But there were key challenges.
Jesse Powell Jesse Powell was the CEO of Kraken when it acquired CF Benchmarks for a nine-digit sum in 2019.
Unlike equities, crypto is a 24/7 market that trades on a variety of global, unregulated exchanges.
S&P just has to take a snapshot of the price of, say, Apple stock at one time and in one place say, the close of day on the New York Stock Exchange.
But with crypto, you have to figure out what is the price of Bitcoin at any given moment in time, and what are the key moments of the day when financial transactions are settled, and build a methodology around that, Chung said.
And you must do that reliably in a manner consistent with financial regulations for traditional products even though its this new asset class, Chung said.
It was a big challenge. But Chungs team had a powerful weapon its relationship with the CME.
The CMEs Bitcoin futures contracts were among the first such regulated products in crypto, and it licensed BRR from launch in late 2017.
And then Kraken came calling.
In 2019, the exchange bought Crypto Facilities and CF Benchmarks for an undisclosed sum. But it was Krakens biggest deal since its exchange went live in 2013.
In CF Benchmarks, we recognised the central role an authorised benchmarks administrator would have to play in Bitcoin ETFs, Tim Ogilvie, Head of Kraken Institutional, told DL News.
Fast forward to today, and CF Benchmarks is now the worlds largest crypto indices provider, Ogilvie added. They will play an important part in the proliferation of the crypto product space.
Producing compliant indexes is not easy. Index providers have to input prices from heavily-regulated bourses like the NYSE and the Nasdaq to ensure the integrity and reliability of the data.
Regulators dont want investors buying ETFs that are predicated on flawed indexes.
BlackRock CEO Larry Fink embraced Bitcoin ETFs and now the asset management giant relies on the Bitcoin Reference Rate. (Darren Joseph/Darren Joseph)
But its hard for a crypto index provider to input similar types of pricing in a marketplace where regulation and reliability remains patchy.
As a result, CF Benchmarks maintains strict selection criteria exchanges must fulfil to be considered for inclusion in the benchmark, Chung said.
For example, the exchange must prove that it prevents fraud and executes strict know-your-customer processes and anti-money laundering checks.
The BRR aggregates pricing data from six constituent exchanges, including Kraken, Gemini, and Coinbase. Binance, though, is not tapped because of its regulatory issues.
After the exchange paid a $4.3 billion penalty and pleaded guilty to violating US banking law in November, CEO Richard Teng, Binance is working to comply with regulations. But its been a slow process.
Chung conceded that not having pricing data for an exchange that now boasts 200 million global users is a major data gap.
Yet, its more important that hes able to stand by the benchmarks integrity.
If that means I have a smaller business, so be it, Chung said.
Now, Krakens deal for CF Benchmarks has positioned it to profit from a new era in crypto the advent of Bitcoin and Ethereum ETFs.
As affordable and easy to trade products, ETFs promise to open the crypto market to a new wave of investors.
While reception of the Hong Kong funds has been lukewarm compared with the US, analysts say the offerings could rack up $1 billion between them.
Chung is now setting his sights on South Korea, where authorities are discussing whether to allow spot Bitcoin ETFs.
Reach out to the author at joanna@dlnews.com
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How Kraken's index wizard is besting Coinbase and Binance in the $58bn Bitcoin ETF race - DLNews
Binance CEO says customers have ‘very little’ assets in bankrupt FlowBank – crypto.news
Binance head Richard Teng says the exchange is in close touch with its customers regarding the bankruptcy of FlowBank, which stored the exchanges clients trading collateral.
Cryptocurrency exchange Binance seems unaffected by FlowBanks bankruptcy, following the Swiss regulators announcement on Jun. 13 that the bank had significantly and seriously breached its minimum capital requirements.
In an interview with Bloomberg, Binance chief executive Richard Teng reassured that the exchange is cooperating with its customers regarding the bankruptcy, noting that very little assets were held at FlowBank.
Theres very little assets on FlowBank on the tripartite arrangement front.
Richard Teng
Launched in 2020, FlowBank quickly became a friendly hub for crypto businesses. It partnered with Binance in an arrangement allowing the exchanges clients to keep their trading collateral at the bank rather than on the crypto platform. The Geneva-based bank also had ties to the TrueUSD stablecoin and crypto asset manager CoinShares.
In an X post on Jun. 14, TrueUSD noted it had closed its bank account at FlowBank in April this year, adding it has no exposure to the bankrupt entity.
TUSD has closed its bank account at FlowBank since April 2024 and currently has no reserve exposure or banking relationship with FlowBank.
CoinShares said in a blog post that its exposure to the bank as a customer is immaterial, with deposits totaling approximately 100,000 (around $127,600). Additionally, CoinShares is an investor in FlowBank, holding nearly 30% of the banks shares as of March 2022.
In May 2023, reports surfaced that Binance was in discussions to allow some institutional clients to keep their trading collateral at a bank to reduce counterparty risk following the collapse of FTX. It remains unclear whether FlowBank was chosen for this purpose.
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Binance CEO says customers have 'very little' assets in bankrupt FlowBank - crypto.news
Net-worth update: Here’s how much CZ owns of Binance coin (BNB) – Finbold – Finance in Bold
According to an exclusive Forbes report on June 14, Binance founder Changpeng Zhao (CZ) owns a staggering 64% of the circulating supply of BNB Chain (BNB), formerly Binance coin.Moreover, Forbes estimates CZs net worth to be $61 billion. This makes him the 24th richest person in the world, just after Julia Koch and his family.
The report, conducted in conjunction with Gray Wolf Analytics, reveals that CZ amassed his BNB stockpile in two ways. Firstly, he and the founding team received 80 million tokens from the total supply of 200 million BNB during Binances creation in 2017.
Forbess forensic analysis of the wallets that received these tokens [] indicates that the company holds 46.2 million of the original 80 million tokens, the report states.
CZ is credited with 41.6 million BNB from this amount due to his 90% ownership of Binance.
Secondly, an investigation published by Forbes and Gray Wolf in October 2023 showed that Binances ICO was initially undersubscribed. Consequently, CZ and his company funneled unsold shares into wallets he controlled.
Today, these wallets hold an estimated 58 million BNB, worth $35 billion at todays price. Given CZs 90% ownership of Binance, he would have just over 52 million additional BNB from this portion.
In total, Forbes believes CZ owns nearly 94 million BNB tokens. However, the report applied a 50% liquidity discount to his stake, as there is little chance Zhao could get near the full value if he tried to sell. Currently, BNBs trading volume is about $1.6 billion worth of tokens per day.
Despite CZs guilty plea and settlement with the U.S. Department of Justice in 2023, which included a $50 million fine and his stepping down as CEO, Binances dominance among crypto exchanges worldwide has increased.
According to The Block, its share of the total spot market has risen to 42% in the six months since he left the company, up from an average of 38% in the two months before his settlement.
As CZ serves his four-month sentence in Californias Lompoc II federal correctional facility, BNB has been on a tear in 2024, surging 100% and outpacing other top cryptos such as Bitcoin (BTC), Ether (ETH), and Solana (SOL). This surge has contributed significantly to CZs growing net worth, which now stands at $61 billion, according to the Forbes net worth index.
The report also highlights the lack of transparency surrounding Binances inner workings, as the company has never undergone an audit. Additionally, more than 53% of all BNB trading occurs on Binances own exchange, raising questions about the tokens true liquidity and value.
Despite these concerns, CZs wealth grows as he watches his BNB billions increase from behind bars. The former CEOs story serves as a testament to the cryptocurrency industrys unpredictable and often controversial nature.
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Net-worth update: Here's how much CZ owns of Binance coin (BNB) - Finbold - Finance in Bold
US gov’t chasing USDT held on Binance after $1M pig-butchering scam – Protos
The US has launched a forfeiture complaint against almost $200,000 worth of tether (USDT) held on Binance in connection to pig-butchering scams that stole over $1 million. Thats according to documents filed in the District Court of Columbia.
The court claims that the USDT represents the proceeds of wire fraud, wire fraud conspiracy, money laundering, and money laundering conspiracy.
According to the documents submitted on June 7, an anonymous victim of two pig-butchering scams, reported to the police that they had lost roughly $1.1 million between January 2021 and December 2022.
The victim first developed a romantic relationship with a scammer known as Eva Markus on Facebook Dating, believing they were an engineer and diamond mine owner. Markus convinced the victim her diamond mine had exploded and that she needed the funds to hire an attorney to return to America. The victim transferred more than $400,000.
Read more: Another Chinese money laundering scheme tied to Deltec and Tether
The victim then started a second romantic relationship with another woman on Facebook Dating claiming to be called Lisa Warren. Warren claimed to invest in crypto and convinced the victim, who was looking to recoup their losses from Markus, to send her $55,000 in bitcoin as an investment.
The victim was then persuaded to sell their home and hand over the profits as a crypto investment, altogether sending roughly $600,000 in crypto. However, after some digging and recovering only $15,000 in funds, the victim realized they had been scammed and alerted the police.
The bitcoin sent to Warrens wallet address was used to track down the illicit funds. Authorities discovered funds from the Markus scam had been mostly cashed out but that roughly half of the funds lost to Warren remained intact.
The FBI traced the crypto transactions to a Binance account held under the name Izuchukwu Henry Okolo. Binance discovered in November 2023 that Okolo had converted their bitcoin to 196,721 USDT. The exchange froze the funds and alerted the FBI who later seized them.
Binance has come under increased scrutiny after US regulatorsappointedlegal firm Sullivan & Cromwell andforensic accounting expert Forensic Risk Alliance to monitor the exchange. The firms will check that Binance is adhering to money-laundering and sanction laws following its $4.3 billion settlement with the US government.
The documents also disclose that criminals involved in the pig butchering scams may be victims themselves. The US has also found Okolos submitted claims about the nature of the seized USDT to be false.
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US gov't chasing USDT held on Binance after $1M pig-butchering scam - Protos