NewsletterUS Government Charges Binance with Conspiracy and Fraud
The United States government has brought forth criminal charges against Binance, the world’s largest cryptocurrency exchange by trading volume, in a significant development in the cryptocurrency sector. The charges, detailed in recently publicized documents, accuse the exchange of conspiracy, operating an unlicensed money-transmitting business, and infringing the International Emergency Economic Powers Act.
Binance Faces Legal Action for Noncompliance
The charges against Binance culminate a year-long criminal investigation by U.S. authorities. The investigation scrutinized the company’s compliance with U.S. financial regulations and anti-money laundering standards. According to the official filing, the government alleges that Binance systematically exploited the U.S. financial system from 2017 to 2022 without adhering to the required legal and regulatory frameworks.
The legal action against Binance marks a significant moment in the U.S. government’s ongoing efforts to regulate the burgeoning cryptocurrency market. The filing outlines a pattern of behavior by Binance that allegedly circumvented U.S. laws, posing a potential risk to the integrity of the U.S. financial system.
Zhao Pleads Guilty to Money Laundering
Due to these developments, Changpeng Zhao, the CEO of Binance, has resigned from his position. In a surprising turn of events, Zhao has also pleaded guilty to charges related to violating anti-money laundering requirements. This plea marks a pivotal moment in the case, showcasing the gravity of the situation and the potential repercussions for Zhao and Binance.
Reports earlier in the week hinted at a possible settlement between the Department of Justice (DOJ) and Binance. These reports suggested that the DOJ sought a settlement above $4 billion from the exchange. The events confirm these speculations, indicating a significant financial and reputational blow to the cryptocurrency exchange.
U.S. Attorney General Merrick Garland will discuss these developments in a forthcoming press conference. This address is expected to shed further light on the charges and the government’s stance on regulatory compliance in the cryptocurrency industry.
Read Also: Bitcoin Miner Phoenix Group Goes Public in UAE
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Pi Network Boosts Utility With Major Partnership With CiDi Games, Expert Calls it “ Real Progress”
- Breaking: Bitwise Prepares to Launch its Avalanche ETF, Reveals Ticker and Fees
- Bitcoin Price Reclaims $91k as JP Morgan Predicts December Fed Rate Cut
- Upbit Hack: $38M in Solana Ecosystem Crypto Assets, TRUMP, BONK, JUP Drained
- Breaking: Ripple’s RLUSD Approved for Use Across Abu Dhabi’s Global Markets
- Zcash Price Prediction — Is a Rally Ahead After Grayscale’s Bold ZEC ETF Bid?
- Ethereum Price Rallies Above $3,000 Ahead of Fusaka Upgrade: What to Expect?
- MON Price Prediction: Why Monad Could Be Heading Toward $0.10
- Will Hype Price Hit $50 as Whales Buy Ahead of the $314M Unlock?
- Is Bitcoin Price at Risk of Crash as Treasury Companies Plan Fire Sale?
- Binance Coin Price Prediction as VanEck Files Spot BNB ETF — Is $1,000 Next?
