French Clients Sue Binance for Misleading Commercial Practice

Key Points:Binance has been accused of deceiving people and advertising its services before it was allowed to do so by law. This is according to a group of French cryptocurrency investors, who filed a criminal complaint against Binance, the largest crypto exchange worldwide.
The lawsuit states that unregistered providers digital financial services are forbidden from advertising in France under a regulation which took effect in France in December 2020.
The exchange is working to restore trust after a major industry slump and an increase in consumer withdrawals.
According to Reuters, Binance was charged by a group French cryptocurrency investors with a crime. They claim that Binance used social media to market its services while it was still waiting to be registered as a digital financial company with French authorities. However, neither Binance nor the prosecution office have responded.A formal inquiry may not necessarily be opened by the French Prosecutor as a result of this complaint, either.The CEO of Binance, Changpeng Zhao, has frequently complimented France for its “pro-crypto” legislation and has stated that Binance intended to establish a regional headquarters there for the European market.Zhao was quoted by the news outlet Mediapart as claiming that “Binance has not been promoting its offers in France before it was allowed to,” which was the first to report on the French complaint.Due to a recent sharp increase in client withdrawals from Binance, the crypto community is concerned about another devastating catastrophe.DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.Join us to keep track of news: coincu.comHaroldCoincu NewsTags: AMFBinanceChangpeng ZhaoCZEuFrench