Stablecoin Issuer Circle Warned Watchdog About Binance Token (1)

Stablecoin giant <-bsp-bb-link state="{"bbHref":"bbg://securities/0890888D%20ID%20Equity","_id":"00000186-50df-d025-a3b6-5cff727c0000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Circle Internet Financial Ltd. issued a complaint to the New York State Department of Financial Services last year about rival crypto firm <-bsp-bb-link state="{"bbHref":"bbg://securities/1624796D%20CH%20Equity","_id":"00000186-50df-d025-a3b6-5cff727c0001","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Binance’s mismanagement of reserves for its own tokens, months before the regulator told another stablecoin issuer to halt its partnership with the trading platform.

Circle, which operates the USDC stablecoin and shares a regulator with Binance-branded stablecoin firm <-bsp-bb-link state="{"bbHref":"bbg://securities/0899303D%20US%20Equity","_id":"00000186-50df-d025-a3b6-5cff727d0000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">Paxos Trust Co., alerted the watchdog last autumn to issues its team had surfaced in blockchain data that showed Binance did not store enough crypto in reserve to support tokens it had issued, according to a ...