Binance crypto exchange is being accused of confiscating Palestinian bitcoin holdings upon the Israeli government’s request. Ray Youssef, one of the founders of the peer-to-peer crypto platform Paxful and CEO of the Noones peer-to-peer platform, claims that Binance confiscated all assets belonging to Palestinians and declined to give them back, despite multiple requests.
He cautions that this may result in more extensive confiscation of assets throughout the area, underscoring the phrase “Not your keys, not your coins” to emphasize the significance of personally managing one’s assets in the crypto realm.
Binance refuted allegations of blocking funds from all Palestinians, clarifying that only a limited number of accounts associated with unlawful activities were subject to restrictions.
The corporation stressed its compliance with international sanctions rules and justified the restriction of the impacted accounts by citing their involvement in unlawful activities.
A spokeswoman from the exchange stated that these actions were carried out in accordance with worldwide legislation and expressed a commitment to peace in the area. However, no additional information was given regarding the number of accounts affected or the precise nature of the illegal activity.
This dispute arises during a difficult period for Binance, as it has encountered legal and regulatory examinations in multiple nations. In the United States, Binance faced a lawsuit earlier this year based on the U.S. Anti-Terrorism Act.
The lawsuit claimed that Binance had allegedly offered significant support to terrorists. Notwithstanding the gravity of these accusations, Binance maintained that the number of impacted users was negligible and that its conduct was per international legislation.
