Background of the Case
Binance, founded in 2017 by Zhao, has been under scrutiny by regulators around the globe due to concerns about its compliance with local laws. The company has faced investigations from authorities in the UK, Japan, Canada, and the US. The US investigation, led by the Department of Justice (DOJ) and the Internal Revenue Service (IRS), is focused on potential violations of US securities laws.
Details of the Travel Restriction
The US judge overseeing the case has now ordered that Zhao must remain in the United States for the duration of the investigation. This means that Zhao, who is known for his global lifestyle and frequent travels, will be confined to the US until further notice. The judge stated that this decision was made in order to ensure Zhao’s availability for questioning and potential trial proceedings.
Reactions to the Travel Ban
News of the travel restriction has sent shockwaves through the cryptocurrency community, with many expressing concern about the potential implications for Binance and the broader crypto market. Some have speculated that the travel ban could signal an escalation in the US government’s crackdown on crypto exchanges.
Zhao’s Response
Zhao, for his part, has vowed to cooperate fully with the investigation. In a statement released on social media, Zhao said, «We are committed to being compliant and will work closely with regulators to resolve any concerns. We believe that the future of finance is decentralized and we will continue to push for the freedom of money.»