Foreign media: Binance US will transfer US $400 million from Silvergate bank account in 2021

According to the news, Reuters reported on Thursday that the cryptocurrency exchange Binance transferred about US $400 million of funds from the Silvergate Bank account of Binance US to a trading company named Merit Peak. According to the report, Binance transferred funds from BAM Trading’s Silvergate account from January 2021 to March 2021. BAM Trading is the name of the entity that operates Binance US. Merit Peak is a trading company, and the United States Securities and Exchange Commission (SEC) is investigating its relationship with Binance. A Binance spokesman did not immediately respond to a request for comment. A spokesman told Reuters that the news agency had “outdated information”, but did not mention the transfer issue.

Interpretation of this information:

Binance, a well-known cryptocurrency exchange, reportedly moved about $400 million in funds from its Binance US account at Silvergate Bank to a trading company called Merit Peak. The transfers took place from January to March 2021 and are currently being investigated by the United States Securities and Exchange Commission. The funds were sent from BAM Trading, which is responsible for operating Binance US.

The exact reason for the transfer is unknown, as Binance has not commented on the situation. However, it is speculated that the funds may have been transferred to Merit Peak in order to continue trading without detection from the SEC. This is not the first time that Binance has come under scrutiny, as the exchange has faced multiple investigations and fines from various regulatory agencies in the past.

The transfer raises questions about the legitimacy and transparency of Binance’s operations, as well as the potential risks for customers who use the exchange. It also highlights the challenges faced by the cryptocurrency industry as it tries to establish itself as a legitimate financial market.