{"id":63565,"date":"2023-09-20T14:29:01","date_gmt":"2023-09-20T18:29:01","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/binance-ceo-denies-receiving-250m-loan-from-bam-management-says-it-is-the-other-way-around\/"},"modified":"2023-09-20T14:29:04","modified_gmt":"2023-09-20T18:29:04","slug":"binance-ceo-denies-receiving-250m-loan-from-bam-management-says-it-is-the-other-way-around","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=63565","title":{"rendered":"Binance CEO Denies Receiving $250M Loan from BAM Management, Says it is “the Other Way Around”"},"content":{"rendered":"
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Binance<\/strong>\u00a0CEO\u00a0Changpeng Zhao<\/strong>\u00a0has refuted claims that he received a $250 million loan from\u00a0BAM Management<\/strong>, the holding company of Binance.US, saying that it was the other way around.\u00a0<\/p>\n

In a Wednesday tweet, the crypto boss said he “loaned $250 million to BAM a while back, not the other way around.” CZ even claimed that he has not taken the loan back yet.\u00a0<\/p>\n

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The dispute arose following a report by crypto media outlet Decrypt, which analyzed court documents related to the lawsuit.<\/p>\n

In the report, the media claimed that Binance.US’ legal team wrote in the documents that BAM Management US Holdings issued a $250 million convertible note to Zhao in December.\u00a0<\/p>\n

The article has since been updated to reflect the fact that Zhao was the one to lend out $250 million to BAM.\u00a0<\/p>\n

While Zhao acknowledged that there were inaccuracies in the report, he did not specify the other details that he believed were incorrect.\u00a0<\/p>\n

Back in June, the\u00a0SEC sued Binance and its CEO\u00a0for their \u201cblatant disregard of the federal securities laws,\u201d unveiling 13 charges against the platform, including operating an unregistered exchange.<\/p>\n

The agency accused Binance of breaking the law by offering unregistered securities to the general public, including its BNB token and BUSD stablecoin.<\/p>\n

Binance.US has\u00a0refuted the SEC’s allegations\u00a0of misconduct in non-motion documents, asserting that there is no evidence of commingled funds, control by Binance CEO Changpeng Zhao, or diversion of customer assets.<\/p>\n

So far in the legal battle, the SEC has repeatedly claimed that it has been struggling to obtain information from the exchange.\u00a0<\/p>\n

Consequently, the SEC filed a motion requesting Binance to make its executives more available for depositions and provide detailed information.\u00a0<\/p>\n

However, during a recent hearing on the matter, the judge expressed reluctance to grant the inspection request at the moment.<\/p>\n

Binance’s Bitcoin Trading Volume Drops Sharply<\/h2>\n

Binance has seen a massive drop in Bitcoin trading volume amid ongoing regulatory scrutiny.<\/p>\n

As\u00a0reported, the platform’s 7-day average spot trading volume for Bitcoin has plummeted by 57% since the beginning of September.<\/p>\n

According to a separate report, Binance’s\u00a0market share shrunk\u00a0by 25% during the period between February to June.\u00a0<\/p>\n

The dip in Bitcoin trading volume is closely tied to\u00a0mounting regulatory pressures\u00a0on Binance.<\/p>\n

Aside from troubles in the US, French authorities also conducted a visit to Binance’s office in France last month.\u00a0<\/p>\n

They are investigating allegations of illegal provision of digital-asset services and aggravated money laundering.<\/p>\n

Furthermore, the\u00a0exchange was ordered to cease\u00a0operations in Nigeria by the country’s Securities and Exchange Commission (SEC).<\/p>\n

Binance has also faced regulatory challenges in multiple European countries, such as Belgium and Austria, as it prepares to comply with the EU’s forthcoming Markets in Crypto Assets (MiCA) regulations.<\/p>\n

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