- Binance’s cash processing firm Advcash is suspected of being a Russian cash laundering operation.
- Binance’s affiliation with Advcash raises considerations about using unknown third events for login.
- Advcash’s actions are primarily targeted on the previous Soviet Union, with site visitors sources and workers positioned in Russia and Ukraine.
An investigation by Ukrainian journalist Kollen Put up revealed that Advcash, Binance’s cash processing firm, is a disguised Russian cash laundering operation. July 18 cryptocurrency information platform Protos reported that the cryptocurrency cost processor is “a veritable parade of pink flags for cash laundering.”
Protos additionally alleges that Advcash has thinly veiled Russian origins and suspected authorities ties, and suspects that it accepts nameless money deposits worldwide and employs “ghost employees.”
The report goes on to look at Advcash’s function in Binance, a problem that the US SEC has already inquired about Binance. In keeping with an e mail between a cryptocurrency firm and a regulator, it was revealed {that a} financial institution that doesn’t settle for a buyer below a identified title, equivalent to Binance, is being cheated by a 3rd occasion with an unknown title.
In keeping with Prota, regardless of Binance CEO Changpeng Zhao’s “mysterious assurance” that Binance had no lack of Silvergate property, each the now-defunct Silvergate and Signature Financial institution accounts had been credibly denied for an “LLC nobody had ever heard of.”
The connection between Advcash and Binance is especially noteworthy as Advcash facilitates cryptocurrency companies by integrating with Binance accounts. Analytical information confirmed that Binance-related domains are ceaselessly visited by Advcash customers. Binance itself really helpful Advcash as a method of changing cryptocurrency to fiat forex, a reality it acknowledged in an SEC submitting in opposition to Binance that included a screenshot of these directions as proof.
As well as, Protos’ investigation revealed that though Advcash’s official firm is registered in Belize, most of its enterprise is performed within the former Soviet Union, in response to SmahedWeb information, which highlighted Russia, Ukraine, Lithuania, Israel and Venezuela as the primary sources of site visitors to Advcash’s web site. As well as, a short examination of LinkedIn profiles revealed that a lot of the declared workers are positioned in Russia and Ukraine.
Moreover, the corporate’s web site beforehand featured emergency telephone numbers with space codes for Russia and Belize, whereas the Belize quantity corresponded to Moscow enterprise hours. Though Belize’s company registry gives restricted data, the nation is listed as a serious jurisdiction for cash laundering.
As well as, Advcash claimed to work with main Russian banks, together with these topic to US sanctions, equivalent to Yandex Cash, PrivatBank, AlfaBank and Sberbank. Early associations with the cryptocurrency world included BTC-e, an notorious money-laundering trade, and its successor, WEX, which had ties to Russian-backed militants and the Russian FSB.
