Binance: We Severely Punish Employees Who Trade Insider Information

The policy of the largest cryptocurrency exchange in the world, Binance, involves blocking any short-term trading for its employees for 90 days, the journalists found out. Chinese reporter Colin Wu tweeted that the exchange needed such a measure to deter any attempt at insider trading. Binance representatives confirmed that the company has a zero-tolerance policy for insider information trading by employees and their families.. Therefore, any investments of employees within 90 days after the placement of certain assets are simply blocked. Top managers of the company are required to report quarterly on any trading activity of their wards. The company also has other internal mechanisms in place to prevent insider trading, such as investigations by the security department, which should hold everyone involved in such activities accountable.. The company said that the dismissal of such employees is the minimum preventive measure, since the investigation can reach the initiation of a criminal case. Previously, Binance provided for a 30-day trading block. The company did not give reasons why they decided to increase this period. Recall that in June, the US Securities and Exchange Commission (SEC) began to study measures to protect cryptocurrency exchanges from insider trading.. The regulator was interested in the politics of Binance, since in February the commission investigated the connection of Binance.US with two trading firms: Sigma Chain and Merit Peak.