North Dakota Financial Regulatory Commission revoked branch’s money transmitter license

North Dakota’s financial regulator has revoked the money transmitting license of Binance’s U.S. subsidiary, Binance.US, making it the seventh state to do so.

North Dakota Department of Financial Institutions (DFI) Commissioner Liz Cross said June 17 that BAM Trading Services – doing business as Binance.US – failed to comply with state laws on money transfers.

The revocation order cites the federal conviction of Binance and its founder Changpeng Zhao in November for conspiracy to engage in an unlicensed money transmitting business and failure to maintain an effective anti-money laundering program. money as a reason for license revocation.

Cross added that the “beneficial owner and majority controlling person” of Binance, Zhao, was recently convicted of criminal charges for violating federal anti-money laundering laws.

“The Commissioner finds that Respondent does not continue to possess the qualifications or meet the requirements that would apply to an applicant for a new money transmitter license,” the revocation order states.

Order of Vacation and Notice of Right to Request Hearing by DFI in North Dakota. Source: North Dakota IFD

Binance.US may file a request to cancel the order within 30 days, which will end on July 17, 2024.

The order will take effect if no orders have been placed by then.

North Dakota is the seventh state to revoke or refuse to renew a money transmitter license applied for by BAM Trading Services.

Alaska, Florida, Maine, North Carolina and Oregon have taken similar steps in recent months.

about: Former New York Fed President Joins Binance.US Board

Florida was the first state to shut down Binance.US services in November, shortly after Zhao pleaded guilty.

North Carolina and Maine were the next US states to follow suit on January 23 and 29.

Binance.US has never obtained licenses in New York, Texas, Vermont and Hawaii.

New user onboarding has also been temporarily halted in Connecticut, Georgia, Ohio, Minnesota and Washington, according to Binance.US.

review: US, China attempt to crush Binance, demand $40 million bribe from SBF: Asia Express

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