According to @_RichardTeng, some mainstream coverage cherry-picks data to portray crypto and Binance negatively, while Chainalysis and TRM Labs data show illicit exposure on top centralized exchanges is only a few hundredths of 1%, with Binance even lower, citing Chainalysis and TRM Labs. According to @_RichardTeng, centralized exchanges actively fight crime and aid law enforcement, reinforcing that platform-level illicit exposure is minimal relative to overall volumes, citing Chainalysis and TRM Labs. According to @_RichardTeng, these data points are directly relevant for trading assessments of exchange-related risk, particularly for BNB and broader CEX-linked liquidity, citing Chainalysis and TRM Labs.

According to the source, a global investigation finds illicit crypto moving in recurring multi-hop patterns across major exchanges, indicating structured laundering workflows and systematic routing; source: the source. Similar transaction fingerprints have been documented in independent on-chain research, including peel chains, mixer-to-exchange hops, and USDT transfers on TRON prior to consolidation into service clusters, underscoring how illicit funds cycle across venues; source: Chainalysis Crypto Crime Report 2024 and TRM Labs Illicit Finance Report 2024. For traders, periods of heightened AML enforcement historically coincide with venue-specific liquidity shifts, wider bid-ask spreads, and elevated volatility in large-cap assets such as BTC and ETH, particularly when enforcement targets major exchanges; source: Kaiko market structure reports 2023–2024 and U.S. Department of Justice Binance settlement filings (Nov 2023). Actionable risk focus includes monitoring stablecoin rails exposure, addresses linked to sanctioned entities, and exchange-specific compliance headlines that can trigger rapid order book thinning and flow migration; source: OFAC Specially Designated Nationals updates 2022–2024 and Chainalysis sanctions monitoring 2024.