Binance owner and CEO Changpeng Zhao has reportedly agreed to resign and admit to violating anti-money laundering laws Report from wall street journal and ForbesThis is part of a major settlement expected to be announced by the Justice Department this afternoon, which will reportedly require Binance to pay more than $4.3 billion in fines.
Although Zhao can no longer hold the senior executive position at Binance, wall street journal According to reports, the terms of the agreement will see Zhao continue to retain his majority stake in the world’s largest cryptocurrency exchange. Zhao is expected to enter a plea in a Seattle court on Tuesday, with sentencing later in the day. Richard Teng, regional director of Binance Markets, is vying for Zhao’s position, according to Forbes.
First, the Securities and Exchange Commission Sue Binance and Zhao In June, the cryptocurrency exchange was accused of operating illegally in the United States while defrauding investors.The agency also Trying to Freeze Binance’s Assets It accused the exchange of “ignoring U.S. laws” and engaging in “illegal conduct.” Binance finally avoids Binance and Zhao were frozen by implementing a series of restrictions, including preventing Binance and Zhao from accessing customer funds.
While the Justice Department has not yet confirmed the terms of the settlement, the agency announced It will hold a press conference at 3 p.m. ET “to announce separate but related cryptocurrency enforcement actions.” Binance is just one of the crypto empires targeted by the SEC following the FTX debacle. Because Coinbase also faces lawsuits.