A group of French investors filed a complaint against the local unit of Binance for misleading and non-compliance with the country's laws.
According to the agency, clients of the bitcoin exchange appealed to the prosecutor's office in Paris. According to them, Binance conducted marketing campaigns on Instagram and Telegram before receiving approval to work from the country's authorities.
According to local media, the complaint was filed on December 14 on behalf of 15 investors. They also allege that the exchange advertised the UST algorithmic stabelcoin as backed by the U.S. dollar. They allegedly lost more than €2.4 million after Terra collapsed.
In a blog post, the French division of Binance noted that it had not conducted any marketing campaigns during the period in question. The exchange also stressed that it always warns users about the risks of investing in crypto-assets.
