According to an exclusive report, Binance privately disclosed details of its $4 billion settlement with the DOJ during a dinner for major market makers held in a Singapore nightclub.
Surprisingly, this discussion took place several months before the settlement amount was made public. According to Bloomberg, attendees at the dinner inferred that Binance was able to cover the $4 billion settlement.
Notably, the former CEO, Changpeng Zhao, did not attend the dinner, but the new CEO, Richard Teng, did.
CZ entered into a plea agreement in November, agreeing to step down as CEO and admitting his involvement in anti-money laundering violations.
A US judge has ordered Zhao to remain in the country until the case is resolved, citing concerns that he might not return for the sentencing.
CZ will be sentenced in February of next year. The charges and subsequent settlement announcement were the result of an investigation by the Department of Justice into Zhao.
While Zhao has been barred from managing Binance for three years, the exchange has pleaded guilty to operating without a license and violating sanctions laws.
Furthermore, Binance is still being investigated by the Securities and Exchange Commission (SEC) for allegations of misusing customer funds and selling unregistered securities. Binance has flatly denied Bloomberg’s claim, calling it inaccurate.
