CFTC lawsuit exposes Binance's compliance violations and dire crypto outlook for exchanges.

The CFTC has accused Binance of market manipulation, lack of compliance effort, and not cooperating with investigative subpoenas. The complaint also alleges that Binance employees knew that its platform had facilitated "illegal activities" and that Binance ignored U.S. regulatory requirements. Binance CEO Changpeng Zhao has been named as a defendant and has been repeatedly singled out throughout the complaint. The CFTC is seeking monetary penalties, disgorgement of any trading profits, and a permanent injunction against further violations. Binance has rejected many of the allegations.