SEC Seeks Binance Chain Scrutiny, Intends to Tap CipherTrace
- The regulator will finalize the one-year deal on July 31, 2020.
The US Securities and Exchange Commission (SEC) is considering to initiate an investigation on the transactions made on Binance Chain, the proprietary Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe of the identically-named cryptocurrency exchange.
In a memo published on Wednesday, the market regulator is planning to offer a one-time contract to California-headquartered blockchain Analytics Analytics Analytics may be defined as the detection, analysis, and relay of consequential patterns in data. Analytics also seeks to explain or accurately reflect the relationship between data and effective decision making. In the trading space, analytics are applied in a predictive manner in an attempt to more accurately forecast the price. This predictive model of analytics generally involves the analysis of historical price patterns that are used in an attempt to determine certain price outcomes. Analyt Analytics may be defined as the detection, analysis, and relay of consequential patterns in data. Analytics also seeks to explain or accurately reflect the relationship between data and effective decision making. In the trading space, analytics are applied in a predictive manner in an attempt to more accurately forecast the price. This predictive model of analytics generally involves the analysis of historical price patterns that are used in an attempt to determine certain price outcomes. Analyt firm CipherTrace scrutinize the blockchain.
Notably, CipherTrace is the only known company to support Binance's native blockchain and all tokens issued on that.
"The Contracting Officer has determined that CipherTrace Inc., is the only source that can reasonably meet the SEC's requirement," the memo read. "CipherTrace products are the only known blockchain forensics and risk intelligence tool that can support the Binance coin (BNB) and all tokens on the Binance network."
Binance, known for running one of the largest crypto exchanges, rolled out its native blockchain earlier this year and migrated its exchange token, Binance Coin (BNB), with a market cap of over $2.8 billion to the blockchain and is hosting another 189 tokens.
What is the need for such scrutiny?
Though the regulator did not publish the intention behind the move, it is anticipating to offer the contract initially for a year, with an option to extend it by a year for four consecutive years.
If everything is in line, the contract will be offered by July 31.
"...the government will give consideration to interested parties that identify their interest and capability to respond to the requirement or submit proposals by the response date of the notice," the memo added.
Notably, Binance is also one of the clients of CipherTrace, which was hired by the exchange in April 2019 to enhance its anti-money laundering measures.
Though Binance claims that its blockchain is compliant with the global regulatory standards, its executives were already expecting scrutiny by the regulators.
The US Securities and Exchange Commission (SEC) is considering to initiate an investigation on the transactions made on Binance Chain, the proprietary Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe of the identically-named cryptocurrency exchange.
In a memo published on Wednesday, the market regulator is planning to offer a one-time contract to California-headquartered blockchain Analytics Analytics Analytics may be defined as the detection, analysis, and relay of consequential patterns in data. Analytics also seeks to explain or accurately reflect the relationship between data and effective decision making. In the trading space, analytics are applied in a predictive manner in an attempt to more accurately forecast the price. This predictive model of analytics generally involves the analysis of historical price patterns that are used in an attempt to determine certain price outcomes. Analyt Analytics may be defined as the detection, analysis, and relay of consequential patterns in data. Analytics also seeks to explain or accurately reflect the relationship between data and effective decision making. In the trading space, analytics are applied in a predictive manner in an attempt to more accurately forecast the price. This predictive model of analytics generally involves the analysis of historical price patterns that are used in an attempt to determine certain price outcomes. Analyt firm CipherTrace scrutinize the blockchain.
Notably, CipherTrace is the only known company to support Binance's native blockchain and all tokens issued on that.
"The Contracting Officer has determined that CipherTrace Inc., is the only source that can reasonably meet the SEC's requirement," the memo read. "CipherTrace products are the only known blockchain forensics and risk intelligence tool that can support the Binance coin (BNB) and all tokens on the Binance network."
Binance, known for running one of the largest crypto exchanges, rolled out its native blockchain earlier this year and migrated its exchange token, Binance Coin (BNB), with a market cap of over $2.8 billion to the blockchain and is hosting another 189 tokens.
What is the need for such scrutiny?
Though the regulator did not publish the intention behind the move, it is anticipating to offer the contract initially for a year, with an option to extend it by a year for four consecutive years.
If everything is in line, the contract will be offered by July 31.
"...the government will give consideration to interested parties that identify their interest and capability to respond to the requirement or submit proposals by the response date of the notice," the memo added.
Notably, Binance is also one of the clients of CipherTrace, which was hired by the exchange in April 2019 to enhance its anti-money laundering measures.
Though Binance claims that its blockchain is compliant with the global regulatory standards, its executives were already expecting scrutiny by the regulators.