The U.S. Attorney’s Office for the Western District of Washington raked in a record $1.51 billion in fines for 2024, with global crypto exchange Binance coughing up $1.5 billion of that—a hefty price tag for one of the district's biggest legal payouts.
The large sum is part of an even larger $4.3 billion penalty imposed on Binance for major infractions including failing to register as a money transmitting business and violating U.S. sanctions.
The district worked with the Criminal Division’s Money Laundering and Asset Recovery Section and the National Security Division to ensure that the company was held accountable for its actions, according to the Wednesday statement.
"Our office worked closely with Department of Justice components on the criminal case against Binance," U.S. Attorney Tessa M. Gorman said.
As part of the settlement, Binance agreed to exit the U.S. market completely, and its co-founder CEO Changpeng Zhao, known as “CZ,” stepped down from the company.
Zhao also agreed to personally pay a $50 million fine and is prohibited from having any future involvement in the company for at least three years.
In addition to the financial penalties, Zhao was sentenced to four months in prison for his role in the violations—another blow to his leadership in the company.
The attorney’s office also collected $8.8 million in civil actions and $3.8 million in criminal restitution, including payments from a coffee stand owner who paid $96,000 for tax underreporting and a restaurant owner who settled a $500,000 tax fraud case.
Civil collections included $217,000 from the sale of Dr. Frank Li's medical office and $1.23 million from Yakima Products for unpaid duties on imported aluminum.
The district also secured $2.86 million from asset forfeitures, which will be used to compensate crime victims and support law enforcement efforts.
Binance and SEC Seek 60-Day Legal Pause
Meanwhile, Binance and the U.S. Securities and Exchange Commission (SEC) under acting chair Mark Uyeda have jointly requested a 60-day pause in their ongoing legal dispute.
The pause comes after the SEC launched a crypto task force, which both parties hope will help clarify regulatory frameworks and potentially resolve the case.
If approved, the pause would delay motions, including Binance's request to dismiss the SEC’s lawsuit accusing the exchange of violating securities rules.
Compounding its troubles, Binance is also facing a probe in France for money laundering and fraud.
Edited by Stacy Elliott.