PARIS, June 16 (Reuters) - Binance, the largest cryptocurrency exchange, is under preliminary investigation for both illegal canvassing of clients and aggravated money-laundering, the Paris prosecutor's office said on Friday, confirming media reports.
"The investigation is about, on one hand, the unauthorised practice of the profession of virtual assets service provider and, on the other, about aggravated money-laundering (...), " the prosecutor's office said in a statement.
"In France, on-site visits by regulators and inspectors are part of regulatory obligations to which all financial institutions must adhere.
The investigation follows various setbacks for Binance including a June 5 decision by the U.S. Securities and Exchange Commission (SEC) to charge the company with evading securities laws.
In May last year, Binance said it had registered with France's market regulator, adding it was seeking to open a regional headquarters in France.
Persons:
Binance, Benoit Van Overstraeten, Tom Wilson, Frances Kerry, Jason Neely
Organizations:
U.S . Securities, Exchange Commission, SEC, Binance, Thomson
Locations:
Paris, France, Cyprus, French