Binance Co-Founder Denies Allegations of Crypto Seizure from Palestinian Accounts

Binance Co-Founder Denies Allegations of Crypto Seizure from Palestinian Accounts

The world’s largest cryptocurrency exchange Binance, has recently come under fire following reports alleging that the platform had seized crypto assets from Palestinian users. However, Binance’s co-founder, Yi He, has strongly denied these accusations, clarifying that only accounts linked to illicit activities were restricted in order to comply with anti-money laundering (AML) regulations.

On August 28, Yi He addressed the claims, emphasizing that a limited number of accounts were impacted, specifically those with connections to illicit funds. These accounts were reportedly blocked due to suspected ties to terrorist organizations.

“As a global crypto exchange, we adhere to internationally recognized Anti-Money Laundering laws, much like any other financial institution. Our commitment to educating users on safe and secure transactions on our platform remains unwavering,” Yi He stated.

Responding to users on X (formerly Twitter), she reassured Palestinians residing in occupied territories that they can continue using Binance and withdraw their funds without issue.

Although Yi He did not disclose the exact number of accounts affected, she mentioned that the issue involved “hundreds of accounts” linked to illegal capital flows. She also highlighted the transparency of blockchain technology, noting that it allows anyone to verify transaction details.

The allegations were further dismissed by other notable figures, including prominent crypto analyst Michael van de Poppe, who argued that the claims were exaggerated and did not reflect the reality of the situation.

Crypto Market Shows Signs of Recovery

The cryptocurrency market has shown signs of recovery following Binance’s denial of the alleged seizure of assets from Palestinian-linked accounts. The market, which experienced a recent downturn, is now flashing potential for a rally in the coming weeks.

In the last hour, both Bitcoin and Ethereum have seen a slight uptick, each gaining over 1%. Despite this, they remain 4% and 5% down respectively over the past 24 hours. Bitcoin has managed to reclaim the $60,000 mark after dipping to a low of $58,034. The recent market crash, attributed to low liquidity, occurred despite bullish news such as Nasdaq’s filing with the SEC for a license to offer and trade Bitcoin index options and the increasing likelihood of Federal Reserve rate cuts in September.