On January 28, 2025, authorities in France launched an investigation into cryptocurrency exchange Binance, focusing on allegations of money laundering and tax fraud linked to activities from 2019 to 2024. The Paris Public Prosecutor's Office is probing claims that Binance's operations are connected to drug trafficking and that the exchange miscommunicated information to users, leading to investment losses.
This investigation follows ongoing scrutiny of Binance's local operations, which have been under investigation since at least 2022. The probe comes shortly after Bybit announced its withdrawal from the French market, citing regulatory issues.
Globally, Binance faces multiple legal challenges, including a civil suit from the U.S. Securities and Exchange Commission and actions from the Australian Securities and Investments Commission regarding consumer protections. Former CEO Changpeng Zhao, who served four months in prison in 2024, has stepped back from his role but remains involved with Binance's technology incubator, YZi Labs.