What happened
On March 27, 2023, the Commodity Futures Trading Commission filed a lawsuit against Binance and CZ. All due to violation of US law. The cryptocurrency exchange allowed two clients to open “sub-accounts” and trade on the platform without verifying their identity.
The investigation found that Zhao and other members of Binance's senior management actively facilitated violations of US law, including instructing US customers to "evade compliance controls."
The court's decision
As part of the agreement, Binance is required to return $1.35 billion in illegal transaction fees and also pay a fine of $1.35 billion. The court fined Changpeng Zhao $150 million.
