Binance prepares to pay fines to end US investigations
Binance, one of the largest crypto exchanges in the world, is ready to fulfill all conditions of US regulators necessary to end the investigation of its activities. This was announced by the company’s Chief Strategy Officer Patrick Hillmann.
According to Hillmann, Binance also ready to pay the required fines to settle the consequences of the violations. He noted that now the company is working together with regulators and law enforcement agencies in order to rectify this situation.
After the end of the investigations, Binance is likely to face serious penalties. There is no exact information yet on whether the punishment will be limited to money penalty only.
The timeline for completion of the investigation is also still unknown. However, Hillmann said that negotiations with the authorities are going well, and the completion will be a positive moment for the company.
Hillmann explained that during its rapid growth, Binance was not yet aware of many regulations and laws designed to prevent money laundering, the use of corrupt schemes and sanctions evasion.
Binance has previously denied the investigations of its activities. An abrupt change of position on this issue may indicate that the company has faced serious problems in the legal field.
At the end of last year, it became known that the US Department of Justice began reviewing Binance in 2018 due to a possible violation of US anti-money laundering laws.
Recently, the US authorities ordered Paxos to stop issuing BUSD, the Binance stablecoin, due to the fact that the company did not conduct the necessary verification of the issued tokens. Changpeng Zhao noted that due to the restriction of the new tokens’ emission, the value of BUSD will decrease.