Brazil's Parliament accused Binance of aiding pyramid schemes

Brazilian Parliament accuses Binance of helping pyramid schemes
Brazil's Parliament accused Binance of aiding pyramid schemes
Deputies will vote on a proposal to summon the head of Binance Brazil, Guilherme Haddad, to testify as a witness

Alfredo Gaspar, a member of the Brazilian Chamber of Deputies and a member of the Parliamentary Committee of Investigation of Financial Pyramids, demanded to call the head of Binance Brazil, Guilherme Haddad, to testify before the Brazilian Parliament, Portal do Bitcoin reported.

According to Gaspar, as outlined in the statement, Haddad should appear as a witness in the ongoing investigations in Brazil. In his statement, the deputy said that the financial pyramid schemes Ever Operations and Investments and Braiscompany, which are under investigation, used the Binance platform to move their assets.

"It is extremely important to look into Binance's activities <...> and its links with companies that are under legal action for harming Brazilian consumers, as this ties Binance closely to the ongoing investigation," Gaspar wrote.

He also separately noted that regulators around the world are now investigating the leading cryptocurrency exchange. Binance faces legal challenges in a number of countries, such as the U.S., Brazil, Japan, China, Germany, and the U.K., due to the company's "inability to respond to regulations imposed in each country," the deputy said.

Because of the litigation that began in the U.S., authorities in other countries have paid close attention to Binance. The exchange failed to obtain a license in the Netherlands, withdrew from the Canadian market, and canceled its registration in Cyprus.

Gaspar's request to call Haddad has yet to be seconded by the other commissioners. The vote will take place on June 27.

Brazilian Parliament accuses Binance of helping pyramid schemes

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