DOJ Tells Prosecutors Binance Asset-Freezing Requests May Face Tougher Process
Summary
- The U.S. Department of Justice said procedures for Binance's cooperation in cryptocurrency investigations may become more stringent.
- Binance is expected to end its Courtesy Freeze service and require formal procedures such as the Mutual Legal Assistance Treaty (MLAT).
- Binance denied the report, saying there has been no change in its cooperation with U.S. law enforcement.
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The U.S. Department of Justice has internally told staff that procedures for securing Binance's cooperation in cryptocurrency investigations may become more stringent.
BeInCrypto reported on July 8 that the department sent an internal memo to prosecutors handling crypto cases saying Binance will no longer provide a so-called "Courtesy Freeze" service.
According to the memo, Binance will require authorities seeking account freezes or asset seizures to first use formal legal channels, including the Mutual Legal Assistance Treaty, or MLAT. Because the MLAT process requires coordination between governments, it can take several weeks to several months.
Binance denied the report, saying there has been no change in its cooperation with U.S. law enforcement.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.