The social media crypto community welcomed the news of the agreement between Binance, Changpeng “CZ” Zhao, and the United States Department of Justice (DOJ). There has been much interest in this development in the hope that it will remove one of the last obstacles to the long-awaited approval of the Spot Bitcoin exchange-traded fund (ETF).
The largest crypto exchange in the world with the USA Binance The $4.3 billion settlement for violating U.S. anti-money laundering laws includes a plea agreement in which former CEO Changpeng “CZ” Zhao agreed to resign as CEO of the exchange.
News of the deal and CEO’s departure sparked a market correction in which approximately $175 million worth of leveraged crypto positions were liquidated, while close to $1 billion in crypto assets from the crypto exchange. flowed.
Over 1 billion dollars of outflows @Binance in the last 24 hours pic.twitter.com/nNMa10gtfg
NEWS CONTINUES BELOW— Pledditor (@Pledditor) November 22, 2023
Aside from a slight market correction, many in the crypto community viewed the settlement with the DOJ and the plea agreement for CZ as a huge win for the exchange and the crypto industry. Many critics have previously claimed that the US pursuing Binance would take away the reins of the crypto exchange.
This is the greatest victory of CZ’s life.
Absolute 3D chessmaster.From day 1, the DOJ & SEC have always been Binance’s biggest risk. CZ’s greatest threat. The dragon on the horizon.
Now, after years of uncertainty, the DOJ has finally been neutralized. The dragon is slain.…
— Cole Garner (@ColeGarnersTake) November 22, 2023
Koinfinans.com As we reported, many others have cited Binance’s settlement with the Department of Justice as a result of a U.S. Securities and Exchange Commission filing. Bitcoin exchange traded fund He described it as the last step before (ETF) approval. Overall, the crypto community sees the deal as a win-win scenario for the crypto ecosystem and a bullish catalyst for the next bull run.
Sweet baby Jesus this is bullish! Binance settling with the DOJ removes the bearish scenario. I think the Bitcoin Spot ETF approvals are around the corner.
When we start pumping and euphoria returns, don’t forget to take profits! https://t.co/LCokdV7Y7E
— Tony Edward (Thinking Crypto Podcast) (@ThinkingCrypto1) November 21, 2023
Not everyone in the crypto community was so optimistic about the Binance-DOJ deal. Some have commented that the crypto community is still waiting for the Securities and Exchange Commission to take action, and that it will likely be a tougher battle since the SEC, along with other agencies, has refused to settle with Binance.
Seeing a ton of bull posts on my timeline.
I don’t think people understand the situation…
It’s obvious that Binance would settle & pay a large fine. But this doesn’t mean it’s all sunshine going forward. Remember that SEC / DOJ had all firepower focused on Binance, now that… pic.twitter.com/cgpDElDqRR
— ImNotTheWolf (@ImNotTheWolf) November 22, 2023
However, the SEC lawsuit is a civil lawsuit, and analysts believe that the DOJ settlement means that Binance and the crypto industry have removed the biggest obstacle to the start of a bull market.
There were also those who compared Binance’s deal to the BitMEX exchange deal, in which then-CEO Arthur Hayes pleaded guilty to violating anti-money laundering laws and resigned as CEO. He was later sentenced to two years of probation, avoiding a possible prison sentence of six to 12 months.