Binance Executive Says US Settlement Was ‘Turning Page’, Prepares for Regulations

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Binance, a well-known cryptocurrency exchange, has faced significant regulatory challenges in recent periods due to its ongoing dispute with the US Securities and Exchange Commission (SEC). Yet, during her appearance at the Paris Blockchain Week on April 10, Catherine Chen, Binance‘s head of institutional and VIP clients, described the $4.3 billion settlement reached between Binance and the SEC as a significant “milestone” or “turning point.”

Chen stated that Binance is prepared for upcoming cryptocurrency regulations and has hired an external compliance supervisor, as well as consenting to being monitored by the US Treasury for five years. In his opinion, “this is truly beneficial.”

Furthermore, the Binance executive dismissed worries that the exchange would be negatively impacted by the monitoring deal. She went on to explain that Binance had been readying itself for this arrangement all along. (Chen stated)

“We’re up for this task, though difficult, as we believe it will significantly benefit the market.”

In November 2023, Binance.US along with its co-founder Changpeng Zhao reached a settlement worth $4.3 billion with the US authorities over allegations of breaching sanctions regulations and Anti-Money Laundering (AML) rules.

Zhao admitted his fault in not keeping Binance’s Anti-Money Laundering (AML) system adequately functional and resigned as the CEO as a consequence. His sentencing hearing is slated for late April, on the 30th, with a possible penalty of imprisonment for up to 18 months.

Chen: Regulatory Clarity to Help Binance

At the Paris Blockchain Week panel discussion, Chen expressed that having proper regulations would bring “significant clarity” for Binance’s users. This, in turn, would make them “more confident” in the industry, the asset class, and the major players.

Despite public perception of obstacles for our business, I believe this is beneficial and even essential for the industry’s growth. As we spoke with CNBC on April 9, Binance’s new CEO, Richard Teng, acknowledged that our company has adjusted its approach as it develops and advances.

At Paris Blockchain Week on the same day, Teng shared that Binance is currently looking for a permanent base of operations around the world and is holding talks with various locations.

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2024-04-11 12:48