(Bloomberg) — Binance Holdings Ltd.’s Chief Executive Officer Changpeng Zhao arrived in Seattle federal court Tuesday to plead guilty to anti-money laundering charges under a sweeping deal worked out with the Justice Department designed to keep the company operating.
Most Read from Bloomberg
Zhao agreed to step down as part of the settlement, which included the Treasury Department and the Commodity Futures Trading Commission, according to people familiar with the matter. Binance agreed to plead guilty to a criminal charge and pay a $4.3 billion fine, the Wall Street Journal reported. The deal ends a years-long investigation into the cryptocurrency exchange.
US Attorney General Merrick Garland and Treasury Secretary Janet Yellen will hold a press conference at 3:00 pm ET on Tuesday to announce more details of the settlement.
The charges come as part of a settlement negotiated between the two sides that will resolve allegations of criminal wrongdoing ranging from money laundering and bank fraud to violations of sanctions. Bloomberg News reported the settlement on Monday.
Read More: US Is Seeking More than $4 Billion From Binance to End Case
The resolution against the world’s largest cryptocurrency exchange and its top leader represents one of the largest penalties imposed within the cryptocurrency industry, which has been facing withering scrutiny from the Justice Department, other government agencies and lawmakers.
BNB, a cryptocurrency tied to the Binance ecosystem, slipped about 4% following the report. The token had hit a five-month high earlier in the day on the news that the DOJ would soon confirm its settlement with the exchange.
–With assistance from Michael P. Regan.
(Updates with new details of Zhao arriving in Seattle court.)
Most Read from Bloomberg Businessweek
©2023 Bloomberg L.P.