Binance
$1 million business account was frozen by Binance
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After being called out on social media, major cryptocurrency exchange Binance revealed it has limited a Tezos tool contributor’s account access to $1 million in cryptocurrency.

Binance announced the suspension of Tezos staking rewards auditor Baking Bad’s account in a Thursday tweet thread, citing a “legal enforcement request.” The Tezos contributor claimed that Binance froze its corporate account including Bitcoin (BTC), Ether (ETH), Polgyon (MATIC), Tether (USDT), and other tokens since July 1 “without any reasons,” which Binance categorically refuted.

“BakingBad is well aware of [Binance’s actions], as he was already advised of this multiple times and provided the LE contact form through our support chat system on 7/6, 7/12, and 7/22,” said Binance. “Attempting to mislead the community in regards to your case will not change anything, unfortunately.”

Given that Binance and its subsidiaries operate in several countries around the world, it is unclear exactly which law enforcement agency they were referring. According to Baking Bad’s LinkedIn page, the site is located in Estonia, where many businesses offering crypto-related services have been subject to stricter Anti-Money Laundering rules since February.

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Binance has been respectful in the past of the many law enforcement and regulatory agencies who enforced sanctions against Russia-based entities and individuals after the conflict in Ukraine began. A Binance representative assured Trader in February that the exchange would not “unilaterally freeze millions of innocent users’ accounts,” despite CEO Changpeng Zhao’s insistence that the cryptocurrency marketplace be subject to sanctions in the same way that more conventional financial institutions are. Russian citizens and residents were blocked from accessing Binance’s spot, futures, and custody wallets, as well as staked and earned deposits, in April.

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