Exchange Binance wanted to hire Gary Gensler as an advisor years ago when he took over the US Securities and Exchange Commission.
Before Gary Gensler became the Chairman of the United States Securities and Exchange Commission (SEC), Binance had intended to invite him as an advisor, according to reports. Wall Street Journal.
Binance tried to avoid US regulatory scrutiny with a bare-bones American platform that it said was separate from its more complex global operation. But private messages show the two businesses have been much more intertwined. https://t.co/a1LZGxSQzs
— The Wall Street Journal (@WSJ) March 5, 2023
The news agency cited a text of a conversation between Binance employees that said Gensler had turned down the exchange’s offer.
At that time, the current SEC Chairman was a professor at the Massachusetts Institute of Technology. In October 2018, Gary Gensler had a meeting with Ella Zhang – former Chief Investment Officer of Binance and Harry Zhou. Zhou – used to work for a financial company under Binance.
“Although Gensler declined the offer to be a consultant, he was still very generous in sharing his experience related to the license,” Zhou wrote in a text message at the time.
But this is not the first time Binance has sought to find common ground with US government officials. The exchange has invited former Senator Max Baucus of Montana to be a Policy advisor and Government Liaison. In September 2022, the world’s largest crypto exchange, which had encountered many legal barriers, decided to establish a global advisory board, bringing together many prominent figures who are former government officials.
Besides, Wall Street Journal It also focuses on the relationship between Binance and Binance.US, the exchange’s US branch. Binance has tried to blind the regulator with a US-based platform that it claims is completely separate from its global operations. However, the series of internal messages reflects the opposite, the two businesses are actually much more attached to each other. This relationship is also a “thorn” in the eyes of US officials, especially the SEC.
At a recent Voyager Digital bankruptcy hearing, an SEC official commented that “Binance.US is an unregistered stock exchange“. Last week, three Senators went on to accuse Binance of being “a hotspot for illicit financial activity by facilitating over $10 billion in dirty money and covering up sanctions evaders.”