The post Binance and CEO Changpeng Zhao Settle Multi-Agency U.S. Federal Investigations! appeared on BitcoinEthereumNews.com.

– Advertisement – Binance, the world’s largest cryptocurrency exchange, and CEO Changpeng Zhao (CZ) settle with U.S. federal agencies, including the CFTC, FinCEN, OFAC, and DOJ. The settlement, totaling $4.3 billion, addresses various charges of violating U.S. anti-money laundering laws and other regulatory breaches. CZ steps down as CEO and pleads guilty, agreeing to pay a $50 million fine as part of the settlement. In a landmark settlement, Binance and its CEO Changpeng Zhao resolve charges with multiple U.S. federal agencies, culminating in one of the largest corporate penalties in U.S. history and significant leadership changes at Binance. Details of the Settlement with U.S. Regulatory Bodies The comprehensive settlement reached between Binance, Changpeng Zhao, and various U.S. federal agencies, including the CFTC, FinCEN, OFAC, and the DOJ, covers a series of regulatory and legal violations dating back to 2017. As part of the agreement, CZ has stepped down from his role as CEO and pleaded guilty to violating U.S. anti-money laundering laws, resulting in a personal fine of $50 million. The total settlement amount of $4.3 billion reflects the serious nature of the charges, which include failing to implement adequate AML controls, facilitating transactions with sanctioned entities, and willful non-compliance with U.S. financial regulations. Specific Charges and Penalties by Agency Each federal agency involved in the settlement brought specific charges against Binance and CZ. The CFTC cited Binance for illegal commodity derivatives transactions and lack of identity verification for U.S. customers, leading to a disgorgement and civil penalty totaling $2.7 billion. FinCEN’s settlement, amounting to $3.4 billion, was due to Binance’s failure to register as a money services business and lack of an effective AML compliance program. OFAC’s settlement involved a $968 million penalty for violating sanctions, and the DOJ’s plea agreement with Binance and CZ included a forfeiture and…

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Filed under: News - @ December 7, 2023 6:14 am