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Binance Ready to Pay $4.3 Billion DoJ Fine Without Selling Crypto

This would prevent any pressure on crypto prices from Binance liquidating assets to raise cash.

Binance Ready to Pay $4.3 Billion DoJ Fine Without Selling Crypto

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Crypto exchange Binance likely has sufficient funds to cover the entire $4.3 billion fine levied by the US Department of Justice (DoJ) without needing to sell any of its crypto assets, according to estimates by Conor Grogan, Director at Coinbase.

Based on Binance’s latest proof of reserves report, the exchange holds approximately $6.35 billion in total corporate crypto assets, including $3.19 billion in stablecoins. This does not account for any off-chain cash reserves or crypto assets held in wallets not included in the proof of reserves.

The tentative $4.3 billion penalty would come from multiple US regulators, including $3.4 billion from the Treasury Department’s Financial Crimes Enforcement Network and roughly $970 million from the Office of Foreign Assets Control, according to Reuters citing sources familiar with the matter.

The DoJ fine stems from an investigation into Binance’s compliance with US anti-money laundering laws. As part of a deal with US authorities, Binance founder and CEO Changpeng Zhao will plead guilty to the charges in federal court later this week.

The plea deal ends a years-long probe into Binance’s business operations. In addition to the multi-billion dollar fine, Zhao has agreed to step down from his executive role and will face sentencing at a future date.

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