In recent years, governments from several nations have been investigating Binance and the most recent legal claims have been brought about by French authorities.
According to reports, French officials launched an inquiry into the exchange on January 28 due to claims of tax evasion and money laundering. Drug trafficking is allegedly linked to money laundering.
All nations in the European Union will be included in the examination, focusing on 2019–2024.
The French authorities have targeted Binance on previous occasions. Since 2022, the nation has been investigating the company’s operations; it has been stated that the exchange lacked sufficient Know Your Customer protocols to monitor users and potential money laundering activities.
According to a Binance representative, this most recent dispute is an extension of a legal investigation that began years ago:
“Binance is deeply disappointed to learn that JUNALCO, a Paris division of the French Public Prosecutor’s Office, has taken the decision to refer this matter, which is several years old, to the French judiciary for further investigation.”
Binance Refutes France Claims
The exchange also stated that Binance “fully denies the allegations and will vigorously fight any charges against it, even though we normally do not comment on legal proceedings as a matter of policy.”
Between 2021 and 2025, Binance was accused of violating anti-money laundering (AML) laws and engaging in unregistered activities in at least ten countries.
The exchange encountered issues with at least six nation-state governments between 2023 and 2024: the United States, Australia, Belgium, Canada, India, and Nigeria. The most well-known example was in the US, where Binance consented to pay the authorities $4.3 billion for operating as an unregistered money transmitter and breaking local AML regulations.
As the team developed from six personnel to eventually thousands, Binance CEO Richard Teng stated there were “gaps in compliance.” By December 2023, the company’s user base had grown to over 166 million. Teng stated that user funds, security, and safety are still “sacrosanct” despite these “historical issues.”
In terms of trading volume, Binance is the biggest cryptocurrency exchange globally. CoinGecko reports that on January 27 alone, the platform handled over $21 billion in exchanges of digital assets.
The exchange’s compliance staff grew 34% to 645 full-time employees by November 2024. The action was part of its “ongoing transformation” and “intensified commitment to regulatory adherence” following its 2023 settlement with the US government.
According to a spokeswoman for Binance, top authorities such as the US Department of Justice, the Office of Foreign Assets Control (OFAC), and the Financial Crimes Enforcement Network (FinCEN) have previously acknowledged the company’s advancements in compliance and anti-money laundering.
