Binance may settle U.S. lawsuit by the end of the month for $4 billion? BNB surges over 7%

According to a report by Bloomberg, the U.S. Department of Justice may seek a $4 billion fine as part of a resolution to end a long-running investigation into the cryptocurrency exchange Binance. A solution could be reached as early as the end of this month. As a result of this news, BNB has increased by 7%.

High Fine in Exchange for Binance to Continue Operations

The U.S. Department of Justice has been investigating Binance for alleged money laundering, bank fraud, and sanctions violations. According to Bloomberg, negotiations include the possibility of criminal charges against Binance CEO Changpeng Zhao in the U.S. and fines of over $4 billion as part of a settlement agreement.

The purpose of the agreement is to strike a balance that allows Binance to continue operating without the risk of collapse, which could have negative implications for the market and cryptocurrency holders. As long as the company meets certain conditions, the U.S. will not prosecute Binance, with these conditions typically involving paying substantial fines and agreeing to detail the facts of its misconduct.

This case represents one of the largest investigations the Department of Justice has ever conducted on a cryptocurrency company. However, it is currently unclear whether other top Binance executives besides CZ will face charges in this case.

Following the SEC lawsuit, there has been a wave of departures among Binance executives. While Changpeng Zhao insists that this is FUD and merely normal staff turnover, the SEC has previously questioned whether Binance's actions were intended to "block information." CZ currently resides in the United Arab Emirates, a country that does not have an extradition treaty with the U.S.

BNB Surges 7% on News

The utility token BNB on the Binance platform surged, rising over 7% in the past 24 hours.