The US Department of Justice is considering filing fraud charges against the world's largest cryptocurrency exchange, Binance.
Semaphore newspaper published in a recent report that the ministry is considering the costs and losses that such a procedure may lead to at the present time. Investigators fear that if they attack the largest stock exchange in the world, the repercussions will lead to bankruptcy, as happened with the FTX Stock Exchange and its president, Sam Bankman Fried. This is seen as a huge loss for consumers and their money and could lead to a major liquidity crisis for the crypto community as a result of panic exits.
Prosecutors are considering other options, such as fines or agreements, apart from prosecution.
The debate highlights the complex and rapidly evolving nature of cryptocurrency enforcement and regulation in the United States, where companies operate in a legal gray area and consumers enjoy none of the protections offered by the traditional banking system.
The Justice Department declined to comment. Binance did not respond to a request for comment.
Cryptocurrency prices now
Bitcoin fell 1.9% to $29,135.8 a symbol while Ethereum fell 0.71% to $1,838.27.
Altcoins fell sharply after the news, and Binance Coin has lost 2.9% of its value so far, dropping towards $240.6 a symbol. While Ripple fell by 2.58%, Dogecoin lost 4%, Solana lost 2.17%, and Tron lost 2.32%. Cardano also fell by 3.72%.
