Binance skirted regulation to become the world’s largest cryptocurrency exchange by trading volume. Now, the company will plead guilty to a criminal charge in the U.S. and agree to pay $4.3 billion in fines. Here’s how the same strategy behind the company’s rise brought it crashing down.
0:00 Binance and CZ pleading guilty
1:11 Rise to the top
2:23 Turning point
4:30 CZ steps down
What Went Wrong explores the challenging conditions and decisions that led to a company’s downturn.
#Binance #Crypto #WSJ
48 Comments
The funny part is that people are talking as if Binance did something wrong, when in reality they were offered a deal to close the investigation. The deals are only for cases when they cannot prove anything, like in this case. They could keep the suspicions for years and years and make Binance lose customers, or make a deal with fake crimes, which Binance did well in accepting.
If you think for a moment you will realize that international money laundering is not something that the SEC is going after, that is a job for the FBI. They made that up just to make the news.
Now the Binance is free to operate, ahead of the bull run!
They hate Binance because they are so cheap for users! they dont like us to have advantage….
Nothing went wrong, everything went as planned. That penalty was probably a drop in the bucket for what's really out there.
How much BTC out there that's being traded on Binance's platforms?
Binance was always the Teemu of exchanges
Very one-sided reporting here imo. Lumping in CZ with SBF is laughable, although people knew it would happen. CZ walks free, just a fine and probation. SBF took your money (not even a 'crypto' fraud btw, just a fraud). Legacy banks pay fines for 'criminal acts' all the time and media doesn't dare to report it. Now, it's time to strum up anti-crytpo sentiment as Wall Street and the big banks put their stake in the sector. I'm sure your channel will soon report on the great opportunities of buying BTC from the newly launched Blackrock ETF. If you're gonna report, try impartiality!
Made my empire from 1K to 10M thanks to him
Extorting Binance Isn't The Answer. I've Used It Since The Beginning And Never Had An Issue. I Have To Say Thank You Binance For Giving Me Exposure To These Great Web3 Projects. I And Many Others Who Were Able To Be Lucky Enough To Know Of Binance Are Wealthy Now And Many More Will Become Wealthy In The Future. The Government Doesn't Want People To Become Wealthy. So It's Trying To Get Their Hands In The Pockets Of Binance.
all bs usa regulations….sec and usa govt most CORRUPT!!
sick of govt.
The SEC again doing this trying to slow down Binance's growth. Binance eclipses Coinbase in volume by 10 times and Black Rock doesn't like that so Larry Fink had to bribe the SEC to do this to slow them down. Binance is regulated all around the world except the USA, which makes no sense. Just like USA not getting the Bitcoin spot ETF but Canada has a spot Bitcoin ETF. Crazy isn't it. The SEC is another BS division like FDA created to police the cryptocurrencies.
Bullish or Bearish?
Should be fine, I mean 4bn is only equal to the total value of their US operation or their total global profit since inception 😮 Rub a bit of dirt on it .😂
Big mistake not taking this all the way to the supreme court, feds keep inventing regulations that don't exist
Fines is too easy, jail is what they are afraid of. All financial crime should have jail component as part of the penalty, after all this is criminal case.
Binance will survive. They keep attacking crypto exchanges – Coinbase, Kraken, now Binance. Things will work out.
Fraud Chinese Guy caught scamming American .. DOJ fines, kisses his hand and still allowing his scam company to keep going.. WOW DOJ so much for justice ..Shame on u… Lock him Up
CZ saved Binance and it will remain the largest crypto exchange in the world. Must sting the SEC 🙂
there naughty people they have billions of dollars and they are never satisfied greed upon greed well they deserve what is coming.
Binance is not ftx
The whole Crypto world wants the Blackrock ETF but forget how powerful it will make an already incredibly powerful company, they could monopolize money if they make sure the other funds ETF approvals are ''Delayed''.
Another corrupt bank gets a fine while our Gov't pushes us towards a digital currency system. What could possibly go wrong in a cashless society?
Seems like we should put our money only to savings account..lol
WSJ is the newsletter of WALL STREET companies. Bitcoin was created to go against the Banks and Investment companies who were all in bed until 2008 Housing Bubble. Instead of charging the big wigs, they get billions of dollars instead. No body got arrested. No body got charged. Where's the justice on that?
nice job Black Rock..now u play with all usa crypto money.
We all know it’s Black Rock that want all the liquidity and want to be the ones that sell Bitcoin to people, rather than Binance.
It’s very easy to figure out 👍
Similar to elon musk, good people have many enemies especially who against zion system
So CZ is ni longer the owner or ??
Does anyone know how many millions of russian money went through this exchange?
The government looked at crypto and said, "we ain't going to regulate that, we will just wait for when they hang themselves" 😂
only the us government is allowed to defraud, scam, and use violence to plunder.
He can't even say properly, let alone do things properly…
Crypto was always a scam for the crypto bros. You may play with it to get some scraps but the real big money are the big players that can drain or pump dump and before you know it, you lost your magical imaginary cash.
extortion
First ftx and now binance,, ridiculous
the largest crypto exchange can't be some1 else other then Usa .. dats what's happenin.. no matter what happens the fact is binance ws he best exchange as of 2023 to chose from .. is there any better option?
This is not good bro iam leaving the Binance.
🙏 Respect & Salute to CEO Zhao for taking responsibility of Binance financial transactions with rogue nations or extremist groups … 🕯🌍🕊
Binance had too much control. CZ did his best.
He just didn’t pay enough, and he’s a Chinese
Strict rules for crypto but the big banks get off very lightly ; that's justice for you .
He is not guilty of anything Big Gov is not. Blackrock is the biggest share holder of Coinbase – they simply helped eliminate the competition.
Binance and CZ haven not fallen, there are no rules to follow, customer funds have always been safe in Binance, CZ remains a legend, Which governments fund Apartheid and genocidal racist states, extortionn101, forced to plead guilty
The general rule is that the US Government and most European Governments want to know when any assets worth more than $10,000 are converted into US dollars or euros. How these exchanges thought they could circumvent basic anti-money laundering regulations beggars belief. If Binance have flouted the rules in America, it is likely to have done the same in many jurisdictions that have similar rules, so I expect Binance will be hit with many more fines throughout Europe and the Far East.
why everyone wants binance to fall?
So how about the bank? It's not like criminals don't use them. Btc is pretty useless to buy anything?
so those 4 billion fines are chump change to this guy
So if you have 4,3 billion you can avoid jail???
Anything crypto is a scam, and can only ever be a scam.
Acting as if anything profiting from crypto can be legitimate is daft, believing someone doing that is criminally insane.