key takeaways
- Binance could soon be indicted on charges of unlicensed money transmission, money laundering conspiracy, and criminal sanctions violations, according to a Reuters report.
- The officers in charge of the investigation are reportedly in conflict over whether to press charges using the evidence already gathered or to investigate further.
- Changpeng Zhao responded to the report with a tweet implying that Sam Bankman-Fried was paying Reuters to spread fear, doubt, and uncertainty about Binance.
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Binance and its executives could face charges including unlicensed money transmission, money laundering conspiracy, and criminal sanctions violations, if prosecutors can agree to bring them.
Reuters vs. Binance
The FTX collapse has not improved Binance’s relationship with Reuters.
Today a new report from Reuters reclaimed that the major cryptocurrency exchange has been under investigation by the US Department of Justice (DOJ) since 2018. According to the article, Binance and its executives, including CEO Changpeng “CZ” Zhao, could eventually be charged. unlicensed money transmission, money laundering conspiracy and criminal penalty violations.
However, according to reports, the various bureaus involved in the investigation are currently disagreeing on whether to continue gathering evidence or pursue criminal charges with the material they already possess. Senior officials from the US Attorney’s Office for the Western District of Washington in Seattle, the Money Laundering and Asset Recovery Section, and the National Crypto Enforcement Team will likely need to reach an agreement sooner. to take any action.
“Reuters has been wrong again”, Binance official account answered in a tweet. A company statement claimed that the exchange “works hand-in-hand with law enforcement to support the work of high-impact ransomware and hacking cases, investment scams and fraud, counter-terrorism financing, sponsored attacks by nation states and major money laundering groups.” The exchange did not comment on the specific charges mentioned in the article.
Zhao, for his part, answered with a tweet implying that former FTX CEO Sam Bankman-Fried was paying Reuters to spread fear, doubt and uncertainty about Binance. Zhao has criticized Reuters reporting on Binance in the past, stating that some of his previous articles were “inaccurate” and written by “irresponsible journalists”.
Disclaimer: At the time of writing, the author of this article owned BTC, ETH, and various other crypto assets.
