Binance Denies Slowing US Crypto Investigations Amid New Allegations

Binance has denied allegations of slowing US crypto investigations, saying it hasn't changed its cooperation with law enforcement. However, an internal Justice Department memo described by The Information warned prosecutors to expect less assistance from the exchange in crypto cases.

The memo, which surfaced three weeks earlier, said Binance would stop providing 'courtesy freezes' from June 8 and require applications to pass through MLAT (Mutual Legal Assistance Treaty) procedures instead. A courtesy freeze is a voluntary restriction on an account while authorities prepare the documents required for a longer hold or seizure.

Binance says it has not seen the memo, doesn't dispute its existence, but rejects its characterization. The company claims nothing has changed in how it works with US law enforcement and that prosecutors likely misread its obligations under the licence it holds through Abu Dhabi Global Market.