- Binance to pay over $1 billion in fines and forfeitures to DOJ, FinCEN, and OFAC for violating anti-money laundering laws
- Binance to cease operations for its non-registered crypto exchange and futures trading services in the U.S.
- Binance to retain independent auditor for 3 years to ensure compliance with Bank Secrecy Act and anti-money laundering requirements
The Department of Justice announced Monday that Binance has agreed to pay over $1 billion in fines and forfeitures for “willfully” violating U.S. anti-money laundering laws. The crypto exchange will also exit U.S. markets by ceasing operations for its non-registered crypto exchange and futures trading services in the country.
As part of the deal to avoid prosecution, Binance has agreed to pay a $100 million fine to the U.S. government, forfeit $450 million and put in place a new global anti-money laundering program.
FinCEN and OFAC Fines
In addition to the DOJ settlement, Binance has also agreed to pay $400 million to the Financial Crimes Enforcement Network and $100 million to the Office of Foreign Assets Control to resolve investigations by the Treasury agencies.
Appointment of Monitor
The company will also retain an independent third party auditor for three years to ensure the crypto exchange is complying with U.S. Bank Secrecy Act obligations and anti-money laundering requirements.
Conclusion Paragraph
The investigation and subsequent settlement show U.S. regulators are continuing to crack down on crypto exchanges flouting laws designed to stop financial crimes. The deal also effectively bans Binance from operating in the U.S. without proper licenses.
