Introduction
Binance, one of the world’s largest cryptocurrency exchanges, is considering legal action against Checkout.com after their partnership came to an end. The partnership between the two companies was announced in March 2021, with the aim of allowing users to purchase cryptocurrencies using their credit or debit cards. However, Binance claims that Checkout.com has breached their agreement, leading to the termination of the partnership.
Binance’s Claims Against Checkout.com
Binance has accused Checkout.com of violating their agreement by failing to provide the necessary KYC (know your customer) and AML (anti-money laundering) checks on users who made cryptocurrency purchases using their credit or debit cards. Binance claims that this has resulted in a high number of chargebacks and fraudulent transactions, which has caused financial losses to Binance.
Checkout.com’s Response
Checkout.com has denied the allegations made by Binance, stating that they have always complied with their agreement and provided the necessary KYC and AML checks on users. They have also stated that they are willing to work with Binance to resolve any issues and disputes.
Legal Action
Despite the response from Checkout.com, Binance has stated that they are considering legal action against the company. In a statement, Binance said that they “will not tolerate any breach of our agreements and will take all necessary measures to protect our users and our business.”
Related:CME Group Launches Bitcoin and Ether Reference Rates in Asia
Conclusion
The termination of the partnership between Binance and Checkout.com has caused a stir in the cryptocurrency community, with many speculating on the reasons behind the split. Binance’s claims of breach of agreement by Checkout.com and the potential legal action highlights the need for proper regulations and checks in the cryptocurrency industry to prevent fraudulent activities.
