Binance has matured past cultural issues, CEO says, after $4.3 billion U.S. DOJ settlement

Binance’s new CEO Richard Teng said the company has moved past cultural issues after the company was hit with a $4.3 billion fine to settle charges from the U.S. Justice Department.

The DOJ had alleged Binance practised a move first, ask forgiveness later approach. Teng on Tuesday acknowledged the concerns.

“In those very early stages of development … Binance was operating in a different fashion,” Teng told CNBC’s Arjun Kharpal on Tuesday at the Paris Blockchain Week crypto conference in Paris, France.

“But we have moved past that, as the company moved into regulatory maturity, [and] we are moving toward sustainability.”

In November, Binance agreed to pay a $4.3 billion settlement to the U.S. government, including a forfeiture of $2.5 billion and a fine of $1.8 billion.

Former Binance CEO Changpeng Zhao was charged with violating the Bank Secrecy Act and agreed to step down. The plea deals ended a years-long investigation into the crypto exchange.

In its November settlement with Binance, the DOJ said that former CEO Zhao had “told employees it was ‘better to ask for forgiveness than permission,’ and prioritized Binance’s growth over compliance with U.S. law.”

U.S. authorities also accused Binance of allowing transactions between U.S. users and users in jurisdictions that were subject to U.S. sanctions.

“These illegal transactions were a clear and foreseeable result of Zhao’s decision to prioritize Binance’s profit and growth over compliance with the BSA,” the Justice Department said, referring to the Bank Secrecy Act.

This is a breaking news story that is being updated. Please check back for updates.