Published Nov 19, 2023 00:13
Updated Nov 19, 2023 01:40
'Binance Will Be History Soon': 'Shark Tank' Investor Kevin O'Leary Speaks Out On Future Of Cryptocurrency Exchange
Benzinga - "Shark Tank" investor and O'Leary Ventures Chairman Kevin O'Leary voiced his skepticism about the future of cryptocurrency exchange Binance (BUSD/USD) at the most recent Benzinga Fintech Deal Day & Awards earlier this week.
O'Leary asserted on Monday, "Binance will be history soon."
The statement came amid Binance's recent announcement to cease local currency deposits in Russia beginning Nov. 15, as detailed on its blog.
Binance didn't immediately respond to a request for comment to Benzinga.
Also Read: EXCLUSIVE: Kevin O'Leary Says The Watch Market Has Outperformed The S&P 500 For 8 Years Running — Here's Why He Wears 2 At A Time
SEC's Allegations and Charges Against Binance
On June 5, the U.S. Securities and Exchange Commission (SEC) filed a report against Binance, including charges of operating unregistered exchanges, broker-dealers, and clearing agencies. SEC Chair Gary Gensler accused the platform and its CEO, Changpeng Zhao, of a wide range of deceptive practices. "Through thirteen charges, we allege that Zhao and Binance entities engaged in an extensive web of deception, conflicts of interest, lack of disclosure, and calculated evasion of the law," Gensler stated. The SEC's concerns included allegations of Binance's manipulative trading practices and misrepresentation of trading controls.
Also See: EXCLUSIVE: Kevin O'Leary Says There's No Reason To Get Excited About Bitcoin ETF Without Regulatory Clarity
A report by Wired earlier in June highlighted Binance's lack of a fixed head office or formal address despite handling daily cryptocurrency transactions worth $12 billion.
The SEC also accused Binance and Zhao of allowing the transfer of customer assets to Sigma Chain, another Zhao-owned business. The regulatory body claims Sigma Chain is engaged in manipulative trading to inflate Binance's trading volume artificially.
In a separate interview with Fox Business, O'Leary mentioned Abu Dhabi's plans to launch a new exchange, M2, aimed at replacing FTX and Binance. He said he anticipates that M2 will be fully compliant and transparent, and backed by significant financial resources.
Read Also: Kevin O'Leary Predicts This New Regulatory-compliant Crypto Exchange Will Surpass Binance And FTX
At the Benzinga Fintech Deal Day & Awards, the "Shark Tank" investor noted the readiness of sovereign wealth funds and institutions to invest in Bitcoin (BTC/USD), emphasizing the need for more regulatory clarity in the market.
Read Next: 'Shark Tank' Star Kevin O'Leary Sounds Alarm About Cracks In Regional Banks Amid Rising Interest Rates
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Read the original article on Benzinga
Written By: Benzinga
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.