Binance Hands Over User Data on Russian Donor to Authorities

Binance's claim to have exited Russia in September 2023 was contradicted by the exchange's own actions, which involved providing sensitive user data to Russian authorities. According to Reuters, Binance handed over cryptocurrency transaction history on IT specialist Yuri Belenkiy, a Russian national who made donations to Ukrainian military fundraisers.

The Investigative Committee in Russia alleged that Belenkiy sent more than $700 in cryptocurrency between January 2023 and March 2024 to the Azov Brigade and other groups. Moscow considers these organizations to be terrorist entities.

Russian investigators requested Belenkiy's transaction history from Binance, which replied using an email address ([email protected]). The data file included personal details such as date of birth, address, telephone number, passport number, a copy of his Russian passport, and a copy of his Bulgarian residency permit.

The disclosure has raised concerns about Binance's handling of user data and its compliance with EU data protection law. Mike Bystrov, founder of Stellar Consulting, noted that Binance may have had an obligation not to provide the data under GDPR, as Belenkiy is a Bulgarian resident protected by this law.