Binance will not be the same


Well, that’s the big story.


The judge approved a $4.3 billion Binance fine as part of a plea bargain. The former head of the crypto exchange Changpeng Zhao and the exchange itself agreed to plead guilty and pay a fine. For another 5 years Binance will be in a judicial supervision mode.


The fight for the company, which lasted almost two years, is officially coming to an end.

It all started out as a fantastic success story. In 2017, Zhao launched a crypto exchange project, and three years later, Binance became the leader in cryptocurrency traffic, making deals worth $10 billion a day.




The rise of the stock exchange coincided with the beginning of a campaign to take control of the crypto business. Binance was the expected target - the stock exchange pursued an independent policy, demonstrating its strength. Regulators began to exert pressure, the company experienced licensing problems, investigations and litigation.


Zhao resisted. The stock exchange was squeezed out of the USA and Europe - Binance strengthened its position in Africa, Asia and Latin America.

Finally, the pressure became unbearable. 


And then Zhao made a difficult decision - he made a deal with an American court: he admitted guilt, accepted a fine and resigned from the post of CEO. 


Were the authorities' claims to Binance true?


Partly yes. Surely one of the clients was engaged in money laundering, conducted illegal operations and financed various bad activities. However, can the exchange counteract this? It’s doubtful. It is necessary to investigate the origin of funds and the identity of customers. In cryptocurrency, this is technically impossible. Therefore, to blame Binance for this is at least unfair.


However, it doesn’t matter now. Binance in the old format was doomed when it became market leader. Such an asset should be under the control of elites. Well, the operation ended successfully, Zhao left. But whether the exchange will accompany the same success is not clear. It will be another company.


#BinanceFine #CryptoLegalBattle #ZhaoResignation #CryptocurrencyChanges #BinanceFuture

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