Original - Odaily
Author - jk
On Monday, November 20, local time in the United States, according to Bloomberg,The U.S. Department of Justice will seek a settlement of more than $4 billion from Binance, the worlds largest cryptocurrency exchange, to resolve a years-long investigation into Binance.This investigation involves the U.S. Department of Justice’s potential charges of money laundering, bank fraud, and sanctions violations against Binance and its founder Changpeng Zhao (CZ), and this settlement will resolve these charges.
According to Bloomberg, the agreement has been seeking a compromise,Allow Binance to continue operating rather than crashing it and negatively impacting investors.If Binance and the DOJ agree on a deferred prosecution agreement, the DOJ will file a criminal complaint against the company. As long as the company meets the stipulated conditions, the Justice Department will not proceed with the prosecution.The conditions typically include paying a substantial fine and agreeing to detail the facts of their misconduct and will establish a process to monitor the companys compliance.
Matt Walsh, founding partner of crypto venture capital firm Castle Island Ventures, said: “Settling with regulatory provisions may be a compromise that protects investors while allowing Binance to choose a more institutional and compliant future direction. develop.
Regarding possible sanctions violations, the Justice Department has been investigating whether Binance helped evade U.S. sanctions on Iran and Russia, a person familiar with the matter said.Binance has also come under scrutiny for whether it allowed transactions to help fund Hamas.
As of press time, both Binance and the U.S. Department of Justice declined to comment. The investigation was jointly led by the Criminal Justice Division’s Money Laundering and Asset Recovery Section, National Security Division and the U.S. Attorney’s Office in Seattle. People familiar with the matter said an announcement on the case could be made before the end of the month, but the situation remains uncertain.
Market funds are taking a stand
After the news was released,BNB surges in a short period of time, surged from around $245 to around $263 and is now trading at $265.
Currently, the currency circle has two reactions to this matter: Most people think this matter is a good thing, because after reaching the settlement, Binance will go into battle lightly and resolve all relevant criminal charges, thus consolidating the status of the world’s largest crypto exchange. Position, and the settlement with the U.S. Department of Justice will also largely help with the SEC v. Binance case. Twitter user @4lex4 said that the U.S. Department of Justice is able to cover the sky to some extent, and that it did not lose the battle with the Department of Justice is Binance’s natural advertisement.Many people also believe that after this incident, users will not FUD on the regulatory pressure related to Binance, leading to a run.
Those who are pessimistic about this matter believe that this revelation does not represent the details of the final settlement between the U.S. Department of Justice and Binance; among them, whether to admit illegal activities, whether to conduct follow-up monitoring and whether Binance can meet subsequent conditions will all become a question mark, and theseUncertainty will put considerable pressure on the overall crypto market outlook。Secondly, the settlement with the Department of Justice does not represent a settlement with the SEC, especially as there is no conclusion yet on whether the tokens sold are securities.
Regarding the follow-up progress of this matter and the responses from both parties, Odaily will continue to follow up and report for you.
Additional reading
Binance refuted the SEC lawsuit point by point. How did the SEC respond?
