The cryptocurrency market is mostly unregulated – multiple factors influence the price , and yet, there’s no way to really predict the tides. As many have interestingly called it-the crypto market is the ‘wild west’. And in the wild west, there’s always something shady going on. On Friday, the world’s largest cryptocurrency exchange Binance Holdings Ltd. came under the scanner after it was claimed that it was being investigated by the U.S. Justice Department’s bank integrity unit and the Internal Revenue Service (IRS) to halt money laundering and other illicit activities, according to a report by Bloomberg.

The report states that officials have sought information from individuals with insight into Binance’s business.

The Changpeng Zhao-led Binance, founded in 2017, has grown into the biggest cryptocurrency exchange in the world. However, officials have always worried about crypto and its potential to be used for illegal activities, and Binance also carries that curse.

It is under investigation by the US Commodity Futures Trading Commission (CFTC) as to whether it allowed illegal trades to be made on its platform by letting consumers buy derivatives linked to digital tokens. US residents can purchase these kinds of products only from those firms which are registered with the CFTC.

The company maintained its stance that it blocked Americans from conducting illegal transactions on its website, using uses advanced technology to analyze transactions for signs of money laundering and other illicit activity. Last year, it had warned that the accounts of U.S. residents would be frozen if they were found to be trading illegally.

Binance spokesperson Jessica Jung, in answer to the probe, said, “We take our legal obligations very seriously and engage with regulators and law enforcement in a collaborative fashion. We have worked hard to build a robust compliance program that incorporates anti-money laundering principles and tools used by financial institutions to detect and address suspicious activity.”

The platform did not comment on specific inquiries or matters. “We have a strong track record of assisting law enforcement agencies around the world, including in the United States,” she added.

The news of the probe into the crypto exchange resulted in the drop in price of popular cryptocurrency Bitcoin to a two-and-a-half-month low, dropping to $45,700, the lowest since March 1. It was trading at $49,312 in Asia morning trade on Friday. This comes after Bitcoin’s price fell by 17% following billionaire Elon Musk’s reversal of his stance towards cryptocurrency and his announcement that his electric vehicle company Tesla would not be accepting Bitcoin as payment for its cars, citing environmental concerns.

As Bitcoin has risen in popularity (it has become a speculator’s dream thanks to Musk, and Wall Street has effectively embraced the digital currency), it has also given rise to concerns that cryptocurrencies are concealing illegal transactions like drug deals and theft, along with evasion of taxes.