Paxos Trust reaches $48.5 million settlement with New York related to Binance


Binance logo is seen in this illustration taken March 31, 2023. REUTERS/Dado Ruvic/Illustration

NEW YORK (Reuters) -Paxos Trust reached a $48.5 million settlement to resolve New York charges it failed to conduct sufficient due diligence of its former partner Binance, and had systemic failures in its anti-money laundering program, the state's financial services regulator said on Thursday.

The settlement calls for Paxos to pay a $26.5 million fine and spend $22 million to improve its compliance program and address deficiencies, New York financial services superintendent Adrienne Harris said.

(Reporting by Jonathan Stempel in New York)

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