Venture Capitalist Adam Cochran from Cinneamhain Ventures has criticized Binance's U.S. subsidiary for its lack of a proper accounting system and minimal record-keeping. Cochran pointed out the subsidiary's struggles in generating an audit report for legal proceedings, despite being a smaller and regulated entity.

Cochran's comments came in response to a post discussing the U.S. Securities and Exchange Commission's (SEC) reaction to Binance's cash reconciliation table. The SEC had raised concerns about the exchange's accounting practices.

While Binance's U.S. subsidiary faces scrutiny for its accounting practices, the broader Binance group has also faced regulatory challenges and questions about its operations in various jurisdictions. Cochran's criticism highlights ongoing concerns about transparency and compliance within the cryptocurrency industry, particularly among large cryptocurrency exchanges like Binance.