Binance, regulators near multibillion-dollar criminal settlement

According to people familiar, the settlement is between $4 to $5 billion

article-image

Co-founder and CEO of Binance, Changpeng Zhao | Web Summit (CC BY 2.0), modified by Blockworks

share

Crypto exchange Binance is in talks with US regulators to settle criminal charges and related investigations, according to people familiar with the matter. 

The US Department of Justice could collect between $4 and $5 billion from the settlement agreement, according to sources familiar. The exchange, which currently faces a civil suit in the US from the US Securities and Exchange Commission, has been in talks with the DOJ for years, the report added. 

The SEC’s suit alleges that the crypto exchange offered unregistered securities and commingled customer funds. 

The proposed deal between DOJ and Binance would continue to let the exchange operate, bypassing a possible collapse and ramifications, while also giving law enforcement access to the exchange’s expansive database. People familiar with the matter said that DOJ officials and other investigators are interested in leveraging the exchange to better monitor illicit financial activities. 

Binance competitor FTX collapsed last November

The settlement is reportedly being led by the DOJ’s money laundering and asset recovery team. 

Binance has been under investigation by the DOJ for years, with lawmakers urging the DOJ to make up its mind on any possible charges back in October. 

Additionally, Binance faces DOJ scrutiny for alleged sanctions evasions. According to reports, the company aided the evasion of Russian and Iranian sanctions. It’s also been accused of helping Hamas, though it worked with Israeli authorities to freeze Hamas-linked crypto accounts back in October.

The crypto exchange also faces a lawsuit from the Securities and Exchange Commission, with the regulator alleging that it offered unregistered securities and commingled customer funds.

Representatives from Binance and the DOJ did not immediately respond to requests for comment.

The news sent the price of Binance’s token (BNB) soaring, pushing the digital asset’s value up nearly 7% as of press time, according to TradingView data.

Updated Nov. 20, 2023 at 1:17 pm ET: Clarified potential settlement value and allegations from the SEC’s lawsuit.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.jpg

Research

Figure, founded by former SoFi CEO Mike Cagney, has emerged as a leader in onchain RWAs, with ~$17.5B publicly tokenized. The platform’s ecosystem volume is growing ~40% YoY as it expands beyond HELOCs into student loans, DSCR loans, unsecured loans, bankruptcy claims, and more. Operationally, Figure cuts average loan production cost by ~93% and compresses median funding time from ~42 days to ~10, creating a durable speed-and-cost advantage.

article-image

New short and long-term priorities include L1 gas boosts, ZK-EVMs, privacy reads, and a lean, quantum-resistant Ethereum

by Blockworks /
article-image

The new stBTC token redistributes Bitcoin gas fees to users, creating liquid yield without inflation or lockups

by Blockworks /
article-image

The reserve will collect protocol revenues to back W token, alongside new yield and unlock schedule

by Blockworks /
article-image

Layer 2 network Taiko integrates Chainlink Data Streams to deliver reliable onchain market data for DeFi and institutions

by Blockworks /
article-image

The license will allow Bullish to operate in New York under strict digital asset rules

by Blockworks /
article-image

The derivatives giant expands crypto offerings with new Solana and XRP futures options, pending regulatory review

by Blockworks /