Binance, one of the largest cryptocurrency exchanges, has recently announced its resolution of investigations by the U.S. Department of Justice (DOJ) and other agencies. The company admitted to past wrongdoing and emphasized its commitment to compliance and organizational restructuring. Binance acknowledged its role in historical compliance violations but clarified that the U.S. agencies did not accuse it of misappropriating user funds or engaging in market manipulation. The company highlighted its promises, such as 1:1 backing of user assets, 100% withdrawals at all times, and transparency regarding its crypto addresses. Binance also addressed concerns related to KYC/AML (Know Your Customer/Anti-Money Laundering) compliance, stating that it has expanded its AML tools and capabilities and implemented mandatory KYC for all users. The DOJ found that Binance violated financial laws, including the Bank Secrecy Act, by failing to register as a money transmitting business and not implementing comprehensive KYC procedures. Binance acknowledged these issues and mentioned its recent efforts to enhance AML measures. The DOJ also stated that Binance violated the International Emergency Economic Powers Act by failing to implement controls to prevent transactions with sanctioned users and areas. Binance admitted to not fully blocking U.S. customers in 2019 but claimed to have taken steps to address these concerns, including maintaining a sanctions team, enforcing KYC and IP blocks, and monitoring transactions in real time. As part of the resolution, Binance agreed to pay over $4 billion in fines, retain an appointed monitor for three years, and improve compliance.

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Information	Details
Geography	Global
Countries	🇺🇸
Sentiment	neutral
Relevance Score	1
People	Changpeng Zhao
Companies	Binance, FinCEN, U.S. Department of Justice (DOJ), International Emergency Economic Powers Act (IEEPA), Bank Secrecy Act (BSA)
Currencies	None
Securities	None