Changpeng Zao, the former boss of Binance, sentenced to three years of probation

The agreement that was established between Binance and the American authorities in November was validated by a judge. The consequences are significant for the crypto exchange and its ex-boss.

The agreement announced at the end of November between Binance, the largest cryptocurrency exchange platform in the world, and its general director Changpeng Zhao with the American authorities was validated Friday by a federal judge, according to court documents consulted by AFP.

Federal Judge Richard Jones decided, during a hearing Friday in a court in Seattle, Washington state (northwest), to sentence Changpeng Zhao (CZ) to three years in prison. put to the test.

The Justice Department announced on November 22 that CZ had agreed to plead guilty to violating US anti-money laundering laws, and that his sentence would be handed down later. He risked several years in prison.

This agreement also provided for him to resign. Binance had also pleaded guilty to violations of US law and agreed to pay fines of $3.4 billion and $968 million to two US Treasury agencies, it had previously said. ©cited at the time the Ministry of Finance.

“Highest financial sanction”

Judge Jones on Friday validated the payment of a total of more than $4.31 billion. This represents “the highest financial penalty ever imposed on a (money services company) in the history of the Department” of Justice, according to a document judicial decision of the American authorities dating from February, emphasizing the “seriousness” of the recognized facts.

In addition, the platform was taken to court in 2023 by the two main American financial market regulatory agencies, the SEC and the CFTC.

The latter criticizes Binance in particular for not having taken sufficient measures to prevent money laundering. Customers could in fact access the platform without their identity having been previously verified.

BFM Crypto: Binance, lobbying in France that is disturbing – 06/12

In France, Binance has been targeted since February 2022 by an investigation by the Paris prosecutor’s office for having solicited clients without authorization and failing to fulfill its obligations to control its clients’ funds.