Binance CEO Changpeng Zhao has pleaded guilty to a range of securities law violations in a landmark case against the world's largest cryptocurrency exchange. This comes as part of a historic $4.3 billion settlement to resolve a long-running investigation into Binance. Prosecutors allege that the exchange enabled money laundering, terrorist financing, and other illegal activities, evading federal law for nearly four years. As part of the settlement agreement, Zhao will step down from his role as CEO of the company. Binance will also pay $4.3 billion in penalties and forfeitures.

The case was pursued in Seattle due to the city's history of pursuing cyber crimes and its jurisdiction over the servers and storage used by Binance. The settlement marks the first time the Department of Justice has reached a corporate resolution with a cryptocurrency exchange. U.S. Attorney General Merrick Garland emphasized that using new technology to break the law does not make one a disrupter, but a criminal.

Binance's legal troubles are not over, as the Securities and Exchange Commission (SEC) has accused the exchange and Zhao of engaging in deception, conflicts of interest, lack of disclosure, and calculated evasion of the law. The SEC alleges that Binance did not clearly separate its U.S. and international businesses and allowed illicit activities such as money laundering. The crackdown on Binance and other cryptocurrency players reflects increased regulatory scrutiny of the industry.