Payment Processor Checkout Ends Association with Binance Over Money Laundering Concerns

Checkout.com Ends Association with Binance Over Money Laundering Concerns

Checkout.com, a renowned payment processor, has officially severed ties with Binance, one of the world’s leading cryptocurrency exchanges. The decision was made due to concerns over money laundering and compliance, with Checkout.com prioritizing its reputation and adherence to regulations.

Main Breakdowns:

Checkout.com terminates association with Binance citing regulatory concerns
Binance denies Checkout’s claims and considers legal action
Checkout.com’s separation from Binance follows Binance Connect discontinuation
Checkout.com confirms inaccurate transactions and inflation by Binance
Binance secures licenses from regulators despite ongoing investigations

Binance’s recent discontinuation of Binance Connect, its cryptocurrency trading platform, has been followed by Checkout.com’s sudden termination of their relationship. Binance has been facing investigations and charges related to fraud and money laundering in multiple countries. Checkout.com has also confirmed that transactions with Binance were inaccurate and inflated.

Despite the fraudulent transactions, Binance remained Checkout.com’s biggest customer and accelerated its trading volumes. However, Binance has recently obtained licenses from regulators, including becoming the first fully licensed cryptocurrency exchange in El Salvador.

Hot Take:

This separation between Checkout.com and Binance highlights the increasing regulatory pressure faced by cryptocurrency exchanges. As more concerns over money laundering and compliance arise, payment processors and other partners are reevaluating their associations with these platforms. This situation emphasizes the importance for cryptocurrency exchanges to prioritize regulatory adherence and build trust with both regulators and partners.