The United States Department of Justice (DOJ) has filed an appeal against a recent decision by a New York judge to approve the sale of crypto brokerage firm Voyager to Binance.US. The move comes amid growing concerns about the regulatory compliance of the Binance group, which operates one of the largest crypto exchanges in the world.
In a court filing submitted on Wednesday, the DOJ argued that the sale of Voyager to Binance.US could result in the transfer of sensitive personal and financial information to a foreign-owned company with a history of regulatory violations. The DOJ also expressed concerns about Binance’s lack of transparency and accountability, which it says could make it difficult to monitor and enforce compliance with US laws and regulations.
The appeal is the latest development in a long-running legal battle over the sale of Voyager to Binance.US. The deal was first announced in November 2022, but it has been delayed multiple times due to regulatory concerns. In January 2023, a New York judge finally approved the sale, citing the potential benefits of increased competition and innovation in the crypto brokerage market.
However, the DOJ has continued to argue that the sale poses significant risks to US consumers and the broader financial system. The agency has previously raised concerns about Binance’s ties to China, its lack of proper licensing and registration in the US, and its alleged involvement in money laundering and other illicit activities.
The appeal is likely to further delay the completion of the Voyager-Binance.US deal, which was expected to be finalized in early 2023. It also underscores the growing regulatory scrutiny facing Binance and other crypto companies as governments around the world seek to tighten oversight of the industry.
Despite these challenges, Binance has continued to expand its operations and services. The company recently launched a new platform for NFTs (non-fungible tokens) and has announced plans to launch a cryptocurrency debit card in partnership with Visa. However, the regulatory uncertainties surrounding the company have raised questions about its long-term prospects and the broader future of the crypto industry.