The most recent report claims that after a judge accepts the company’s plea deal, Binance Holdings Ltd. will pay one of the most extensive corporate penalties in US history. This concludes a protracted investigation by the Department of Justice (DOJ) and other regulatory agencies, which began months after the cryptocurrency exchange and its former CEO and founder, Changpeng Zhao, entered a guilty plea to charges of violating anti-money laundering laws.
Defence Lawyer: Binance Acknowledges Complete Responsibility For Its Previous Acts
On February 23rd, Seattle court sees US judge approve Binance plea deal: $4.3 billion fine, new CEO, and monitored compliance system for five years.
On February 16, prosecutors urged the judge to approve the plea deal, alleging that Binance jeopardized the nation’s financial system. As stated in the document by the prosecutors:
Binance’s extensive and intentional misconduct, led by senior executives, caused collateral damages totaling hundreds of millions, necessitating summary.
Jones discussed his opinions regarding the criminal accusations brought against Binance. The judge asserted at Friday’s hearing that greed had compromised the company’s ethics.
Josh Eaton, deputy general counsel at Binance, acknowledged that the cryptocurrency exchange was aware of its legal obligations under US financial regulations. The defense attorney stated, “The defendant made deliberate decisions not to follow US laws despite this knowledge.”
The exchange’s legal representative informed the judge that Binance accepts full responsibility for its past actions and admits wrongdoing. Eaton continued in the hearing:
We’re proud to report significant compliance improvements in recent years.
Next, will CZ face sentencing?
As a condition of the plea agreement, Changpeng Zhao had to give up his position as CEO of Binance and pay a fine of $50 million. The former executive’s sentencing trial is scheduled for April 30, 2024, but he is still awaiting it.
Prosecutors may seek a term of up to 10 years in prison, but CZ may only receive an 18-month sentence. The co-founder secured bail with a $175 million bond, so he can still travel within the United States.
