North Dakota has revoked Binance US’s money transmitter license, citing compliance issues and legal problems surrounding the company’s founder, Changpeng Zhao.
The North Dakota Department of Financial Institutions announced that Binance US, operated by BAM Trading Services, Inc., failed to meet state regulatory standards.
This decision follows Zhao’s guilty plea in April to violating U.S. anti-money laundering laws, resulting in a four-month prison sentence.
North Dakota joins several other states, including Alaska, Florida, Maine, North Carolina, and Oregon, in revoking or refusing to renew Binance US’s license.
Zhao’s conviction and Binance’s involvement in operating an unlicensed money-transmitting business were key factors in these decisions.
North Dakota regulators highlighted several issues with Binance US, including an inadequate anti-money laundering program and a lack of transparency.
The company’s failure to provide necessary documents and records during the investigation further undermined trust and regulatory compliance.
