Binance to pay fine to resolve regulatory issues! Chief Strategy Officer: SEC actions have caused a chilling effect

After the New York Department of Financial Services explained the reasons for the violations of BUSD, Binance's Chief Strategy Officer, Patrick Hillmann, also stepped forward to clarify the current coordination with regulatory agencies. In addition to the impact on the future business of BUSD, they will also inevitably face a fine.

Binance Expects to Pay Regulatory Fines

According to a report by the Wall Street Journal, Binance is expected to pay fines to resolve recent regulatory and enforcement actions by the United States.

Patrick Hillmann, Chief Strategy Officer at Binance, stated, "Binance grew rapidly, initially driven by software engineers unfamiliar with bribery and corruption, money laundering, and economic sanctions-related laws and regulations. The company has been working to fill gaps in its early compliance efforts, but expects regulatory agencies to impose fines for past actions."

At the same time, Patrick Hillmann revealed that they are cooperating with regulatory agencies and are satisfied with the progress of the discussions. However, whether there will only be fines or if they will face further sanctions is still to be determined by the regulatory authorities.

"This is a good moment for our company to put the past deficiencies behind us," said Patrick Hillmann.

However, Patrick Hillmann also mentioned that regulatory oversight of the cryptocurrency industry in the United States is still "very chaotic," and recent enforcement actions by the SEC will have a profound and long-lasting chilling effect in the U.S.

As previously reported, the U.S. compliance exchange Kraken was fined $30 million by the SEC for failing to register its "cryptocurrency staking service program." If Binance wishes to settle through fines, it may have to pay a significant amount.