Quote from: John Abraham on Today at 06:28:26 AM

Quote from: Cryptomultiplier on April 21, 2023, 08:08:09 PM

These findings has created a new thought pattern for me. I would never even think that such power could be accorded to an exchange I downloaded or registered on to hold my coins.
I would have to read the user agreement from now on before joining or using an exchange, because what's the point of using a decentralized network if it isnt decentralized?
If it is controlled by other external bodies, even upon completion of my KYC verification and adherence to its functions for my benefits, why would my account be frozen without an explanation as to why?
Unless I falter, still a notification should be sent out to me the user, because it is not only such app that I have to adhere to its user agreement. I may not even remember what I read on its user agreement page nor even remember the limitations imposed to prompt such a freeze of my account. What now makes them better than using a fiat system?

Not only you. I believe most forum users don't know what is hiding behind their TOS Power. Their TOS is their power. I had a little conversation with o_e_l_e_o here, and then I decided to create a new thread to give a warning to forum users about the TOS of Centralized exchanges. You can find it here; Do you know what is hiding behind the Centralized exchanges User Agreement?. Guess what? Very few people read that, and I don't think people are interested to know what is hiding behind their TOS.

Still, I hope people will search on the internet, and I hope they can find my topic in one of the search results. I can scream and write TONs of words on the internet, and people won't read and hear me until they suffer from the same thing. At least you read and responded here. Many people don't.

You always have options on the market. Centralized Exchange's trading volume is huge (Over 99%). You shouldn't hold your funds there. You can use them to exchange your coins unless you do not have any options out there. Still, I would suggest avoiding them if you can.

It's an interesting thread thread but you shouldn't mix theoretical legal terms and reality. They need to protect them aginst abuse and lawsuits but they mostly need to manage their business and you don't attract people with bad commercial conduct and scammy practices.
For example, you've quoted the ToS of Binance in first place but they don't seem to apply those terms very strictly according to the CFTC.

Quote

104. Internally, Binance officers, employees, and agents have acknowledged that the
Binance platform has facilitated potentially illegal activities. For example, in February 2019,
after receiving information “regarding HAMAS transactions” on Binance, Lim explained to a
colleague that terrorists usually send “small sums” as “large sums constitute money laundering.”
Lim’s colleague replied: “can barely buy an AK47 with 600 bucks.” And with regard to certain
Binance customers, including customers from Russia, Lim acknowledged in a February 2020
chat: “Like come on. They are here for crime.” Binance’s MLRO agreed that “we see the bad,
but we close 2 eyes.”
105. Lim’s internal discussions with compliance colleagues illustrate that Binance has
tolerated Binance customers’ use of the platform to facilitate “illicit activity.” For example, in
July 2020, a Binance employee wrote to Lim and another colleague asking if a customer whose
recent transactions “were very closely associated with illicit activity” and “over 5m USD worth
of his transactions were indirectly sourced from questionable services” should be off-boarded or
if it was in the class of cases “where we would want to advise the user that they can make a new
account.” Lim chatted in response:
Can let him know to be careful with his flow of funds, especially from darknet
like hydra
He can come back with a new account

106. Lim’s instruction to allow a customer “very closely associated with illicit
activity” to open a new account and continue trading on the platform is consistent with Zhao’s
business strategy, which has counseled against off-boarding customers even if they presented
regulatory risk. For example, in a September 2020 chat Lim explained to Binance employees
that they
Don’t need to be so strict.

Offboarding = bad in cz’s eyes.
But this current one has to go, it’s tainted
https://www.cftc.gov/media/8351/%20enfbinancecomplaint032723/download