WASHINGTON: The U.S. government has reached a settlement with the world’s largest cryptocurrency exchange worth more than $4 billion, a person familiar with the agreement told The Associated Press on Wednesday.
agreement with BinanceThis was confirmed on condition of anonymity ahead of the expected announcement. The value of the settlement was first reported by Bloomberg.
This comes just months after the company was accused of operating as an unregistered securities exchange and violating multiple US securities laws in a lawsuit by regulators.
Binance is a Cayman Islands limited liability company founded by CEO Changpeng Zhao, The allegations were similar to practices that emerged after the collapse of the second-largest cryptocurrency exchange, ftxLast year.
Zhao has also been accused of moving client funds, concealing the fact that the company was merging billions of dollars of investors’ assets and sending them to third parties, which Zhao also owned.
At the time the US Securities and Exchange Commission filed a lawsuit against the company, Binance said it was cooperating with the investigation, but said the agency “chose to act unilaterally and pursue litigation.”
The cryptocurrency industry has been hit by scams and market downturns. Sam Bankman-Fried, the 31-year-old founder of the failed cryptocurrency brokerage, was convicted of fraud earlier this month for stealing at least $10 billion from clients and investors.
agreement with BinanceThis was confirmed on condition of anonymity ahead of the expected announcement. The value of the settlement was first reported by Bloomberg.
This comes just months after the company was accused of operating as an unregistered securities exchange and violating multiple US securities laws in a lawsuit by regulators.
Binance is a Cayman Islands limited liability company founded by CEO Changpeng Zhao, The allegations were similar to practices that emerged after the collapse of the second-largest cryptocurrency exchange, ftxLast year.
Zhao has also been accused of moving client funds, concealing the fact that the company was merging billions of dollars of investors’ assets and sending them to third parties, which Zhao also owned.
At the time the US Securities and Exchange Commission filed a lawsuit against the company, Binance said it was cooperating with the investigation, but said the agency “chose to act unilaterally and pursue litigation.”
The cryptocurrency industry has been hit by scams and market downturns. Sam Bankman-Fried, the 31-year-old founder of the failed cryptocurrency brokerage, was convicted of fraud earlier this month for stealing at least $10 billion from clients and investors.
(TagstoTranslate)Zhao(T)FTX(T)Fatima Hussain(T)Cryptocurrency(T)Changpeng Zhao(T)Binance