Cryptocurrency exchange Binance has been fined C$6 million by Canadian authorities for breaching money laundering and terrorist financing laws. The Financial Transactions and Reports Analysis Centre of Canada noted that Binance failed to register as a foreign money services business. Additionally, the company did not report numerous large virtual currency transactions of C$10,000 or more during single transactions.
Binance exited the Canadian market a year ago, attributing its departure to the regulatory landscape. Recently, Binance’s founder, Changpeng “CZ” Zhao, was sentenced to four months in prison in the US after pleading guilty to violating anti-money laundering requirements. His guilty plea followed an agreement between Binance and the Department of Justice, Treasury Department, and CFTC to resolve allegations concerning the exchange’s inadequate anti-money laundering measures, operation of an unlicensed money-transmitting business, and violations of sanctions law. As part of the settlement, Binance agreed to forfeit $2.5 billion and pay an additional fine of $1.8 billion.