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Nov 21, 2023

US Demands $4B From Binance to Close Criminal Case

The US Justice Department is in final talks with Binance Holdings Ltd., aiming for a resolution that could require the cryptocurrency giant to pay over $4 billion.

Negotiations Near End

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This move could signal the end of a lengthy investigation into alleged money laundering, bank fraud, and sanctions violations, as reported by Bloomberg.

Potential Conclusion

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Key aspects of the investigation include the possibility of criminal charges against Binance founder Changpeng Zhao.

Criminal Charges Loom

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Led by various divisions, including the criminal division’s money laundering and asset recovery section, it marks one of the most extensive probes into a cryptocurrency company by the Justice Department.

Extensive Probe

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Although specific charges remain undisclosed, the anticipated penalty could be among the largest in the history of criminal cryptocurrency cases.

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Record Penalty Anticipated

Negotiations aim to strike a balance, allowing Binance to continue operations without causing a collapse that could impact markets and cryptocurrency holders

Delicate Balance Sought

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The proposed agreement involves filing a criminal complaint, with deferred prosecution contingent on Binance meeting conditions, including a substantial penalty and acknowledgment of wrongdoing.

Deferred Prosecution Agreement

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The case reflects a broader trend of increased legal actions, with the SEC previously filing a lawsuit against Binance and Zhao for alleged mishandling of funds and securities violations.

Broader Regulatory Trend

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