Circle Denies Allegations of Involvement With Justin Sun and Hamas

Facing allegations and scrutiny from regulators and government officials in the U.S., Circle has issued a statement regarding its purported ties with Hamas and Justin Sun.

According to Circle, it adheres to stringent compliance standards, given its long-standing commitment to regulators overseeing its status in the crypto industry. Circle is the stablecoin issuer behind USDC, which ranks as one of the top U.S. dollar-based stablecoins. Circle claims that it continues to and will continue to abide by legal measures and frameworks for its business practices.

"We have a deep history of cooperating with law enforcement and, in the last month alone, were recognized by the U.S. Secret Service for prolonged support identifying instances of fraud and “pig-butchering” scams and assisting in the recovery of funds," Circle said in an open letter addressed to Chairman Brown and Senator Warren.

Justin Sun, the controversial founder of TRON and an advisor at Huobi (HTX), has been the subject of a lot of contention in the crypto space. Allegations of his involvement with Circle, with the latter being his "bank" has circulated in the past, mostly due to misinformation about the role of exchanges and how crypto operates in adjacency with banks in terms of regulation.

Circle maintains that it is subject to the Bank Secrecy Act as well as "applicable laws focused on anti-money laundering and countering the financing of terrorism," claiming that it has been an advocate for comprehensive federal prudential regulation in the U.S.

Circle's letter comes in days after Binance, another major player in the sector, announced that it will be winding down its stablecoin offerings, in response to its current legal woes with the U.S. Department of Justice.

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