Binance Settlement was public known to VIP traders

The historic Binance settlement inked with the United States Department of Justice was made known to the trading behemoth’s VIP customers beforehand according to a report from the major media house, Bloomberg.

Binance Settlement Known In-House

According to a published statement by the media outlet, Binance VIP Traders attended a luxurious private dinner during a conference in Singapore where they were informed of Binance’s impending legal turmoil, especially the $4.3 billion settlement. During the meeting which was held in the sophisticated 1880 members-only club amidst a setting of American Angus beef and Australian truffles, the attendees were split into smaller groups.

In these groups, the selected group of market makers and traders questioned top Binance executives on the legal turmoil faced by the exchange. They touched on the issue of the $4.3 billion Binance settlement and by the time the VIP traders were ready to leave, they were convinced that Binance was liquid enough to pay off the fine requested by the DOJ.

Noteworthy, Changpeng ‘CZ’ Zhao, Binance founder and former CEO who stepped down from his position in the firm last month, was not present at the meeting. His successor Richard Teng was there but the new CEO did not want to be identified discussing the private gathering.

Binance Probe Now Over

Binance has been under the radar of the United States DOJ for more than five years now. The regulator alongside the Department of the Treasury and the Commodity Futures Trading Commission (CFTC) had concerns about its operations and accused the crypto exchange of offenses like money laundering and violations of securities law.

Markedly, this is similar to the charges levied against Binance and its then-CEO in June by the SEC.

Two weeks ago, the DOJ unveiled its option to push for a settlement worth $4.3 billion, one of the highest corporate fines in US history. Honoring this settlement means that the digital asset service gets to continue its business in the region as Binance US but with the condition to provide the authorities with access to its database.

For the U.S. authorities, the move was pivotal in demonstrating the government’s ongoing efforts to regulate and oversee the rapidly evolving digital currency landscape.

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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter, Linkedin

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