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Regulation/Compliance

News linked to both this project and an event.

Humanity Says It Is Formulating a Victim Recovery Plan

Humanity released a post-mortem report on the H token security incident that occurred between June 8 and 9, stating that the incident was not caused by a smart contract vulnerability, but rather by a malware intrusion into a developer's device, which led to the leakage of private keys. Humanity stated that the attacker still holds the ProxyAdmin permissions for the ETH bridge and the BNB Chain token. Preliminary investigations confirmed that a colleague's device was infected with malware, which the attacker used to obtain the hot wallet private key of the administrator and the private keys for signing on 6 Gnosis Safe wallets. The team has hired an external security agency to conduct a forensic investigation and stated that they are formulating a recovery plan for affected users.

Russia may impose fees on "unfriendly" cryptocurrency transactions to protect investors

Odaily Odaily Deputy Finance Minister Ivan Chebeсков said that Russia may introduce fees, recommendations, and technical protection mechanisms in "unfriendly" cryptocurrency transactions to protect Russian investors.During the preparation for the second reading of the bill on regulating the crypto market, one of the core topics debated was whether to allow specific digital assets, including USDT and BNB, to participate in transactions. Ivan Chebeсков noted that operations with such instruments could pose high risks for Russian users, and therefore additional protective measures are being considered. These include economic incentives such as fees or recommendations to encourage citizens to hold other assets.Previously, Russia's Ministry of Finance had considered excluding USDT from the cryptocurrency market regulatory system, but industry participants expressed their willingness to bear the risks of using this instrument on their own. Furthermore, in a regulatory concept proposed by the Central Bank of Russia last December, it suggested recognizing digital currencies and stablecoins as foreign exchange assets, permitting their purchase and sale but prohibiting their use for domestic payments for goods and services. Unqualified investors, after passing a specific test, would be allowed to purchase the most liquid cryptocurrencies, with the annual limit for purchasing assets through a single intermediary not exceeding 300,000 rubles. (TASS)

Coinbase, Ripple and Over 200 Crypto Entities Jointly Urge U.S. Senate to Advance CLARITY Act Vote

a joint letter initiated by Stand With Crypto, in collaboration with the Blockchain Association, the Crypto Council for Innovation, and The Digital Chamber, has been submitted to U.S. Senate Majority Leader John Thune and Minority Leader Chuck Schumer, urging a full floor vote on the Digital Asset Market Clarity Act (the "CLARITY Act") as soon as possible.Over 200 crypto enterprises, industry associations, and community organizations, including Coinbase, Ripple, Kraken, a16z, Circle, and Binance.US, have participated in signing the letter. The joint letter points out that the CLARITY Act would establish a comprehensive federal regulatory framework for the digital asset market, clearly delineate regulatory responsibilities, provide feasible registration pathways, protect software developer innovation, and simultaneously promote the return of more digital asset businesses to the U.S. market.The signatories stated that the bill would help retain innovation, jobs, investment, and market activity within the United States, further solidifying America's leading position in the global digital asset innovation sector.It is understood that the CLARITY Act received bipartisan support and passed committee review in the Senate Banking Committee last month. Senator Cynthia Lummis subsequently stated that the next step for the bill is to enter the full Senate deliberation stage.Additionally, 160 former national security and law enforcement officials have previously signed a letter supporting the bill. U.S. Treasury Secretary Scott Bessent and White House Crypto Advisor Patrick Witt have also publicly called for advancing the legislative process. However, the issue of conflicts of interest between the Trump family and the crypto industry is still regarded as one of the main obstacles to the bill's progress. (The Block)

Bitwise CIO: Crypto Investment Shifting from Momentum Trading to "Contrarian Betting"

Bitwise Chief Investment Officer Matt Hougan stated that as U.S. stocks continue to rise, AI stocks attract significant capital, and the regulatory outlook for the U.S. "Clarity Act" remains uncertain, crypto assets are transitioning from past momentum trading to longer-term fundamental "contrarian bets."Hougan pointed out that against the backdrop of the Nasdaq 100 index rising 43% year-over-year and AI concepts dominating market attention, the appeal of allocating crypto assets for institutional investors has diminished. However, this does not mean the crypto industry is disappearing; rather, the investment logic is changing, requiring a longer-term perspective and stronger fundamental judgment.He also noted that the current "crypto winter" differs from the past, as funds are no longer simply flowing into large-cap assets like Bitcoin but are beginning to reward projects with independent fundamental narratives. For instance, Hyperliquid, BNB, Zcash, and Stellar have all seen notable gains recently, indicating that the market is placing greater emphasis on the actual progress and differentiated logic of specific projects.

Binance US Stock Business Structure Exposed: Nest Trading Handles Connections, Alpaca Monopolizes 94% of Tokenized US Stock Market

Binance's US stock business adopts a dual-core structure of "introducing broker + clearing broker," with Nest Trading responsible for order referral, and US fintech company Alpaca Securities handling the entire process of trade execution, clearing, settlement, and asset custody.Nest Trading, formerly known as BCI Limited, obtained a broker-dealer license from the Abu Dhabi Global Market (ADGM) FSRA at the end of 2025 and officially began operations on January 5, 2026. Together with Nest Exchange and Nest Clearing and Custody, it forms Binance's compliance "troika" in ADGM. Registered on Reem Island in Abu Dhabi, Nest Trading handles key Binance services such as OTC, Convert, and Earn.Alpaca is an SEC-registered broker-dealer and a member of FINRA and SIPC, commanding a 94% market share of tokenized US stocks and ETFs, facilitating 1:1 on-chain asset conversion for platforms like Ondo Finance. In January 2026, Alpaca completed a $150 million Series D funding round at a valuation of $1.15 billion, achieving unicorn status with investments from Citadel Securities, Kraken, MUFG, and others. As of early 2026, Alpaca serves over 300 institutions, covering 9 million brokerage accounts. By the end of 2025, it held total assets of $1.386 billion and net capital exceeding $100 million.Public information indicates that Binance and its core team had no prior connection with Alpaca. This collaboration establishes a cross-border US stock trading loop characterized by "ADGM licensed connectivity + US compliant clearing."

Binance’s U.S. business referral broker, Nest Trading, is in fact a Binance-affiliated entity.

According to the public register of the Abu Dhabi Global Market (ADGM) Financial Services Regulatory Authority, Nest Trading Limited—the introducing broker responsible for Binance’s U.S. equities trading services—is a Binance-affiliated entity, and its official website URL listed in the register directly points to Binance.

Argentine police arrested 24 people and seized over $8 million in cryptocurrency during the operation

the Attorney General's Office of Buenos Aires Province, Argentina, coordinated with judicial authorities and police in multiple regions to launch a large-scale joint operation codenamed Fake Coins targeting cryptocurrency fake investment scams. Police conducted 90 simultaneous searches nationwide, arresting 24 suspects. The operation successfully intercepted and seized a total of 8 million USDT, valued at over $8 million, along with nearly 6 million Argentine pesos in cash and a large number of electronic devices.Investigations revealed that the criminal group induced victims to invest through social media and fake apps, with total losses amounting to nearly 3 billion pesos. The San Isidro judicial department seized the majority of the crypto assets during an investigation into a Chinese criminal group, which developed malware to steal user information for money laundering purposes. Part of the funds were reportedly converted to USDT through Binance P2P transactions. (infobae)

Binance Alpha Removes DIGI, SKI, and 11 Other Tokens

according to an official announcement, based on a recent review, Binance will remove the following tokens from its featured list at 06:00 UTC on May 29, 2026: DIGI (MineD), K (Sidekick), SKI (SKIMASKDOG), JOJO (JOJOWORLD), PLAYSOLANA (PlaySolana), 恶俗企鹅 (William Tell Penguin), PAL (Palio), TYCOON (DinoTycoon), HIPPO (sudeng), LN (LnfiNetwork), BNBXBT (BNBXBT), and BOOM (Boom). After removal, withdrawal or sell operations will still be permitted on Binance Alpha.

Paxos receives SEC clearing agency registration approval

blockchain infrastructure platform and stablecoin issuer Paxos has announced that its subsidiary, Paxos Securities Settlement Company, has obtained registration as a clearing agency with the U.S. SEC, allowing it to provide clearing and settlement services as a central securities depository in the United States. In October 2019, the SEC issued a no-action letter to Paxos, permitting a pilot for blockchain-based U.S. stock settlement services, which went live in February 2020. Paxos stated that the pilot achieved same-day settlement, reduced costs, and improved operational efficiency within a regulated framework. Stablecoins and digital assets issued by Paxos include PayPal USD, Global Dollar, and Pax Gold. The SEC issued a Wells Notice to Paxos in 2023 regarding the issuance of Binance USD and concluded its investigation in 2024. Additionally, Paxos reached a $48.5 million settlement with the NYDFS in August 2025 concerning compliance issues related to Binance and BUSD. (Cointelegraph)

Blockworks joins Coinbase and other crypto institutions to establish a Token Disclosure Alliance, promoting transparent disclosure standards akin to the stock market

the "Transparency Alliance," initiated by Blockworks, has been officially established, garnering support from over 40 crypto enterprises including Coinbase, Kraken, and Binance.US. The alliance aims to jointly develop unified token information disclosure standards to enhance market transparency and attract institutional capital. Based on Blockworks' Token Transparency Framework, the alliance seeks to establish a standardized information disclosure mechanism for crypto assets, similar to that of the stock market, enabling investors to gain a clearer understanding of token structures and risks.Reportedly, the framework covers details such as token issuance structure, internal holdings allocation, market maker arrangements, exchange listing terms, and repurchase mechanisms. It distinguishes between two types of document systems: "one-time pre-issuance disclosure" and "ongoing update disclosure." To date, 44 projects, including Morpho, Jupiter, Spark, and dYdX, have completed the relevant filings.Industry insiders point out that this initiative aims to establish a unified information infrastructure for the crypto market to meet institutional investors' demands for transparency and compliance. Blockworks stated that it has communicated with relevant personnel from the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Analysts believe that this alliance signifies the crypto industry is accelerating its shift towards an "institutionalized information disclosure system." However, its ultimate impact will depend on whether the market translates these disclosure standards into widespread industry consensus. (CoinDesk)

Binance Returns to Philippine Market Through Regulatory Sandbox

According to Cointelegraph, Binance has officially re-entered the Philippine market through a partnership with BlockShoals, leveraging the regulatory sandbox framework of the Philippine Securities and Exchange Commission (SEC). Binance was previously banned by the Philippine SEC in 2024. Its return is facilitated by the compliant sandbox mechanism.

Binance Denies Wall Street Journal Allegations of $850 Million Iran-Related Transactions

According to Cointelegraph, Binance CEO Richard Teng denied a Wall Street Journal report claiming that the platform processed approximately $850 million in Iran-related transactions ultimately destined for the Islamic Revolutionary Guard Corps (IRGC), calling the report “completely inaccurate.” The report stated that Babak Zanjani—a figure recently re-sanctioned by the U.S.—and his associated network transferred funds via Binance accounts over a two-year period. Richard Teng stated that Binance has never permitted sanctioned individuals to trade on its platform, and any flagged activity occurred prior to the imposition of U.S. sanctions. Previously, the Wall Street Journal also reported that Binance’s internal compliance team had issued multiple alerts regarding these accounts.

GreyScale’s Latest Report: Regulatory Clarification May Prioritize Mainstream Blockchains for Institutional Funding Attention

Grayscale’s latest research report states that Grayscale Research Head Zach Pandl believes tokenized assets and decentralized finance (DeFi), among other blockchain applications, may experience growth as the CLARITY Act advances and related guidance from the U.S. Securities and Exchange Commission (SEC) becomes increasingly clear. Grayscale identifies Ethereum, Solana, BNB Chain, and Canton Network—currently dominant in on-chain financial activities—as likely to attract institutional capital first. The report notes that Ethereum, Solana, and BNB Chain lead in areas such as tokenized assets, stablecoins, and DeFi, while Canton Network also holds a significant share in the tokenized assets space.

Binance to Add Monitoring Tags to ALCX, COOKIE, DODO and Other Tokens

According to an official announcement, following a recent review, Binance will add monitoring tags to the following tokens on May 22, 2026: Alchemix (ALCX), Cookie DAO (COOKIE), DODO (DODO), Epic Chain (EPIC), Heima (HEI), Hashflow (HFT), Storj (STORJ), Synapse (SYN), and Alien Worlds (TLM). Tokens with monitoring tags may exhibit higher volatility and risk compared to other listed tokens. Binance will closely monitor and continuously review these tokens. Trading these monitoring-tagged tokens carries risks, and these tokens may no longer meet the listing criteria, potentially leading to delisting.

Binance CEO Richard Teng Responds to WSJ Report: Binance Did Not Allow Sanctioned Individuals to Trade

Binance CEO Richard Teng responded to a related report by The Wall Street Journal on platform X, stating that the report still contains "fundamental errors" regarding the facts and Binance's commitment to its compliance framework.Richard Teng stated that the transactions mentioned by The Wall Street Journal all occurred before the relevant individuals were sanctioned, and Binance did not allow any sanctioned individuals to trade on the platform.He also said that Binance had proactively investigated the matter before being contacted by The Wall Street Journal and had provided the relevant facts to the publication, but this information was not published.Furthermore, Richard Teng emphasized that Binance has a "zero tolerance" policy for illegal activities, has established an industry-leading compliance system, and will continue to cooperate with U.S. and global law enforcement agencies to combat financial crime.Previous news: WSJ: Over $850 Million in Funds Linked to Iranian Regime Transferred Through Binance Over the Past Two Years

WSJ: Iranian regime-linked funds have moved over 850 million US dollars through Binance in the past two years

amid the escalating risk of conflict between Iran and the United States, financing networks linked to the Iranian regime have used Binance to establish a secret payment system to continuously funnel funds to military forces.According to the report, the network is operated by Iranian businessman Babak Zanjani, who describes himself as an "anti-sanctions" manipulator. Internal compliance reports from Binance show that as of last December, the network had conducted approximately 850 million US dollars in transactions through Binance over the past two years, with most of the transactions concentrated in a single account. (WSJ)

A hacker organization has made over $14 million through token scams and X account hijackings

on-chain analyst Specter stated that the hijacking incidents of investor Keith Gill, Matt Furie, and WinRAR accounts on the X platform are all linked to the same hacker organization. This organization has accumulated over $14 million in profits by hijacking accounts to promote tokens and conducting cross-chain money laundering, with funds flowing through five chains: Solana, BNB Chain, Ethereum, Tron, and Hyperliquid.Specter claims the organization may also be connected to a $2.45 million wstETH phishing attack in 2024. The investigation found that hackers used compromised accounts to issue Pepe imitation tokens, incorporating a built-in 2% automatic fee mechanism to generate profits; related fund flows are associated with the bnbshare.fun platform and multiple Solana, Tron, and Ethereum addresses. Analysis also showed that several tokens (including USOR, VDOR, DROID, WCOR, UGOR) were used to inflate market caps before being dumped to zero.

VanEck and Grayscale Submit BNB ETF Amendments on the Same Day

VanEck filed the fifth amendment to its BNB ETF registration statement with the U.S. Securities and Exchange Commission (SEC) on May 15. Grayscale also submitted the second amendment to the Grayscale BNB ETF prospectus on the same day.Bloomberg ETF analyst James Seyffart stated that the simultaneous submission of amended documents by both institutions indicates they are responding to SEC feedback and may be planning to advance product launches in the near term.James Seyffart also noted that BNB could become the next crypto asset to pass SEC review and potentially be listed in the United States. (The Block)

Binance Research: Cryptocurrencies Are Not an Illegal Financial Haven—Confiscation Rate in 2025 Is 55 Times That of Fiat Currency

According to a research report released by Binance Research, approximately 11% of illicit cryptocurrency transaction volume was seized in 2025—55 times the global fiat recovery rate (less than 1%). Even after excluding the single Prince Group case involving roughly $15 billion worth of BTC, the remaining seized amount still stands at about 10 times the fiat baseline. Data from on-chain security firms SlowMist and PeckShield shows that between 8.3% and 13.2% of stolen funds were recovered or frozen in 2025, reflecting continuously improving collaboration efficiency among exchanges, stablecoin issuers, and law enforcement agencies. Binance Research notes that blockchain’s inherent transparency is being fully leveraged by regulators and investigators, and the notion that “cryptocurrency is a breeding ground for illicit activity” is gradually becoming an outdated misconception.

Binance will remove 19 non-compliant tokens on May 14, 2026

According to an official announcement, based on a recent review, the following tokens do not meet the Binance Alpha standards and will be removed from the selected list on May 14, 2026 at 06:00 (UTC): PRAI, COMMON, PINGPONG, TAKER, JANITOR, GATA, KLINK, CORL, SWTCH, ARIAIP, LONG, ZKWASM, GORILLA, ECHO, LITKEY, FIR, GM, DELABS, DONKEY, WHY. After removal, users can still withdraw or sell these tokens through Binance Alpha or the Binance wallet.