As the historic multi-billion dollar deal between Binance and US authorities continues to make waves, a new figure is emerging: Sullivan & Cromwell. This law firm, based in New York, is preparing to play a crucial role as an independent monitor.
Sullivan & Cromwell, Binance’s compliance guarantor
Following the historic $4.3 billion deal between Binance Holdings Ltd. and the American authorities, the New York law firm, Sullivan & Cromwellis preparing to play a crucial role as independent controller. With Sharon Cohen Levin, former federal prosecutor At its head, the firm intends to closely supervise the compliance of this crypto behemoth with anti-money laundering and sanctions regulations.
According to well-informed sources of BloombergSullivan & Cromwell is the favorite for this delicate task, awaiting official confirmation by the Ministry of Justice. The team will be led by Sharon Cohen Levin, renowned for her expertise in financial crime.
The choice of Sullivan & Cromwell, due to its experience in handling complex legal matters, highlights the crucial importance of compliance for the centralized crypto exchange. The participation of seasoned professionals demonstrates Binance’s commitment to the highest standards of regulatory compliance.
This appointment marks a key milestone in Binance’s efforts to restore trust and credibility after regulatory challenges. By partnering with a renowned law firm, Binance demonstrates its willingness to meet the most rigorous regulatory requirements.
Other crucial information: Sullivan & Cromwell, already actor in the bankruptcy of FTXgenerated more than $153 million in fees between November 2022 and November 2023. The firm pocketed an average of $11.8 million per month in this affair.
Role of controllers: Reinforced monitoring at Binance
The role of controllers, essential for Binance Compliance, is both lucrative and critical. With the hefty $4.3 billion fine imposed on the BNB issuer, the stakes are high to ensure the deal is upheld. It will be up to the controller, like Sullivan & Cromwell, to rigorously supervise the implementation of anti-money laundering and sanctions measuresensuring careful monitoring of progress and transparent communication with authorities.
The settlement comes after an extensive investigation by prosecutors and federal regulators, highlighting the importance of continued oversight. THE monitoring periods of three and five years imposed by DOJ and Treasury’s Financial Crimes Enforcement Network demonstrate long-term commitment to compliance.
To meet the requirements of the regulation, Binance must strengthen its compliance program, including improving identification (KYC) and reporting of suspicious transactions. Changpeng Zhao’s (CZ) guilty plea to violating banking regulations highlights the scale of efforts needed to restore the company’s trust and credibility.
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