In a major victory for the U.S. government, cryptocurrency exchange Binance has pleaded guilty to violating the Bank Secrecy Act (BSA) and causing a financial institution to violate the BSA. The company will pay a $4.3 billion fine, which is among the largest penalties ever obtained from a corporate defendant.
The charges against Binance stem from a years-long investigation into the company’s business practices. The Justice Department alleges that Binance failed to implement adequate anti-money laundering (AML) controls, which allowed criminals to use the exchange to launder money and evade sanctions.
In addition to the BSA violations, Binance is also charged with operating an unlicensed money-transmitting business. This charge stems from the fact that Binance allowed U.S. customers to trade cryptocurrency without first registering with the Financial Crimes Enforcement Network (FinCEN).
The $4.3 billion fine is a significant blow to Binance, which is one of the world’s largest cryptocurrency exchanges. The fine is also a sign that the U.S. government is taking a tough stance on cryptocurrency crime.
The Binance case is a wake-up call for the cryptocurrency industry. The case shows that the U.S. government is willing to take action against cryptocurrency companies that do not comply with the law. This could lead to increased regulation of the cryptocurrency industry in the future.
This is a developing story.
This article is published in BitPinas: Binance Pleads Guilty to Violating U.S. Bank Secrecy Act and Pays $4.3 Billion Fine, CZ Steps Down as CEO
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