Oregon has joined the ranks of states that have taken action against Binance.US by revoking its license to operate in the state. This decision prohibits Binance.US from accepting money for transmission or engaging in the buying or selling of fiat or cryptocurrency for Oregon consumers. The Oregon Division of Financial Regulation made the announcement on April 30, stating that their action was in line with five other states that had previously taken similar measures due to Binance.US CEO Changpeng Zhao’s guilty plea for violating Anti-Money Laundering laws. Florida was the first state to suspend Binance.US’ license in November, followed by Alaska in January, North Carolina and Maine in January, and Connecticut in April.
In addition to these setbacks, Binance.US has also faced challenges in other states. The exchange has never received licenses in New York, Texas, Vermont, and Hawaii. It is also not available in Georgia and Ohio, although conflicting information on the Binance.US website suggests that licenses are held in those states. Binance did establish a regional hub in Georgia in March 2023, but its license there does not cover the exchange or transmission of virtual currency. Furthermore, Binance.US has experienced significant difficulties due to U.S. banks’ refusal to work with them, leading to over 200 staff layoffs.
The troubles for Binance.US do not end there. The U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Binance in June, accusing Binance.US of failing to register as an exchange, broker, and clearing agency. The SEC also alleged that Binance.US lacked controls over manipulative trading, engaged in wash trading, and commingled funds with Binance. Binance.US was established in 2019 as a response to regulatory pressure.
Overall, Binance.US has faced numerous challenges and legal battles in the United States, with Oregon being the latest state to take action against the exchange.