The post CEO Changpeng Zhao’s $200M Fine and Resignation appeared on BitcoinEthereumNews.com.

In a shocking twist for the cryptocurrency world, Binance, the global giant in digital asset trading, and its charismatic CEO, Changpeng Zhao, have pleaded guilty to a litany of criminal charges, including anti-money laundering violations and breaches of US sanctions. The unprecedented plea deal, negotiated with the US Department of Justice (DOJ), carries a staggering $4.3 billion fine for Binance and a $200 million fine for Zhao. As part of the settlement, Zhao has officially stepped down from his position as the CEO of the company. Money-Laundering Violations and Sanctions Breaches The criminal charges, outlined in court documents, include money-laundering violations, US sanctions violations, and conspiracy to conduct an unlicensed money-transmitting business. Binance acknowledged its failure to prevent and report suspicious transactions, some of which were linked to notorious terrorist organizations from different parts of the world. “Binance became the world’s largest cryptocurrency exchange in part because of the crimes it committed – now it is paying one of the largest corporate penalties in U.S. history. In just the past month, the Justice Department has successfully prosecuted the CEOs of two of the world’s largest cryptocurrency exchanges in two separate criminal cases. The message here should be clear: using new technology to break the law does not make you a disruptor, it makes you a criminal,” remarked US Attorney General Merrick Garland. The court filing revealed that Binance facilitated transactions exceeding $890 million involving customers in Iran, a country subject to severe US financial sanctions. Additionally, the crypto exchange allowed transactions between US users and counterparts in other sanctioned jurisdictions, including Cuba, Syria, and illegally occupied regions of Ukraine. US Treasury Secretary Janet Yellen criticized Binance, stating, “Binance turned a blind eye to its legal obligations in the pursuit of profit. Its willful failures allowed money to flow to terrorists,…

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Filed under: News - @ November 22, 2023 11:22 am