The Department of Justice demands Binance to pay more than 590 billion yen, the largest investigation in history into virtual currency exchanges may finally come to an end



The United States Department of Justice (DOJ) has been investigating Binance , the world's largest cryptocurrency exchange, for several years on suspicion of money laundering, bank fraud, and sanctions violations. As part of the resolution for this investigation, it has been revealed that the DOJ is asking Binance to pay more than $4 billion (approximately 590 billion yen).

US DOJ Seeks More than $4B From Binance to End Criminal Case - Bloomberg
https://www.bloomberg.com/news/articles/2023-11-20/us-seeks-more-than-4-billion-from-binance-to-end-criminal-case



BNB price spikes amid report of possible Binance deal with DOJ | The Block
https://www.theblock.co/post/263858/bnb-price-spikes-amid-report-of-possible-binance-deal-with-doj

DOJ Is Seeking $4 Billion From Binance, Criminal Charges Against CZ - Decrypt
https://decrypt.co/206716/doj-seeking-4-billion-binance-settlement-cz-criminal-charges

US seeks more than $4 billion from Binance to end criminal case -Bloomberg News | Reuters
https://www.reuters.com/legal/us-seeks-more-than-4-bln-binance-end-criminal-case-bloomberg-news-2023-11-20/

The DOJ is seeking a $4 billion payment to conclude its investigation into Binance, according to people familiar with the negotiations. If this investigation is not resolved, Binance founder and CEO Changpeng Zhao may face criminal charges in the United States. Please note that CEO Zhao resides in the United Arab Emirates, which does not have an extradition treaty with the United States.

Anonymous sources said the situation remains fluid, but payments could be announced as early as the end of November 2023. Bloomberg has asked Binance and DOJ for comment, but Binance has not responded and DOJ has declined to comment.

In addition, when Bloomberg reported on this matter, the price of Binance Coin (BNB), Binance's own token, rose by up to 8.5%.



Matt Walsh, one of the founders of crypto venture

Castle Island Ventures , said: ``The settlement with monitoring provisions protects investors and moves Binance towards a more institutionalized and law-abiding future.'' It could be a compromise solution that would give us options.”

Although the proposed resolution and the specific amount charged have not been disclosed, this is expected to be one of the largest penalties in history for a virtual currency-related criminal case.

The investigation is being led by the police's Money Laundering Asset Recovery Division, the National Security Division, and the U.S. Attorney's Office in Seattle.



According to the sources, the agreement between the DOJ and Binance strikes a balance that allows Binance to continue its operations, rather than posing 'the risk of bankruptcy that could have a negative impact on the market and crypto holders.' It seems that the aim was to make it possible to take it.

According to another person familiar with the matter, Binance is working to minimize risks in the settlement, including by seeking a deferred prosecution agreement. If Binance and the DOJ agree to a deferred prosecution agreement, the DOJ will file criminal charges against Binance, but the agreement will not proceed with prosecution. Prosecution typically involves paying large fines, agreeing to a detailed statement of facts outlining the wrongdoing, and setting up processes to monitor the company's compliance.

According to sources, the DOJ is investigating the possibility that Binance was used to evade sanctions imposed by the United States on Iran and Russia. In addition, it has been pointed out that Binance may have been involved in funding transactions for Hamas.

The DOJ investigation into Binance is one of the largest investigations the DOJ has ever conducted into a cryptocurrency company. Bloomberg points out that if this investigation ends in a settlement, it will lead to a historic resolution following the collapse of the virtual currency exchange FTX.

In addition to the DOJ, Binance is also attracting attention from multiple government agencies, and in June 2023, the Securities and Exchange Commission filed a lawsuit against Binance and CEO Zhao.

in Note, Posted by logu_ii