Reuters has reported that the U.S. Justice Department is split on charging Binance for money laundering and criminal sanctions violations. The charges would also include Binance CEO, CZ.
According to the report, the Justice Department has been investigating these charges since 2018, primarily focusing on the compliance between the crypto exchange and the United States.
What Charges Against Binance Would Do To The Industry
Cryptocurrency analysts have predicted that the entire crypto industry would collapse if charges were brought against CZ and his company.
Binance is the leading centralized crypto exchange in the entire industry. With charges like this, it would create uncertainty for all investors across the globe.
The industry has already taken a massive fall in the past year. This can be correlated with the collapse of FTX. Also, FTX CEO, SBF, has admitted to fraud in a recent interview.
What Happens Next
For charges to be officially processed, the criminal inquiry has to be approved by MLARS. Which is the Money Laundering and Asset Recovery Section.
The crypto exchange platform has also issued a response on its blog. They deny any wrong doing and are suggesting Reuters has it wrong, again.