CRYPTO Collapse & Crackdown as Binance CEO is Jailed & Fined $4.3 Billion for Money Laundering

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Binance is the largest Crypto Business in the world and processes more than $12 Billion in Crypto transactions every day. The fees earned by Binance have made its founder very wealthy however he was forced to resign from the business in November after being charged with MONEY LAUNDERING. He has now been found GUILTY and jailed in the USA. Binance has also been fined $4.3 BILLION. In this video I provide more details on the money laundering case, discuss the jail sentence compared to a recent case in Turkey and the implications for the Crypto industry.
For specific details please check out the CHAPTER list below.
Thanks for watching and please LIKE and SUBSCRIBE.
Chapters:
0:00 Intro
2:24 MONEY LAUNDERING
4:32 FINANCIAL PENALTIES
8:22 11,196 YEARS
11:00 SUMMARY & CONCLUSION
#binance
#cz
#ftx
#crypto
#blockfi
#fraud
#china
#Belt&Road
#globalrecession
#globalfinancialcrisis
#russia
#Evergrande
#China
#Recession
#Zhenro
#Bonds

[@porkyvonchop6458]

an average joe that got arrested for laundering 10k dollar will have more prison time than the guy who laundered billions 😆😆

[@billytheweasel]

Americans with a bank account in another country face civil fines of 50% of the account, and criminal fines of $500K plus 10 yrs prison. Dept of Treasury, fincen, FBAR reporting. 4 MONTHS for laundering money for ****??

[@bsgvlog5640]

Yes but the average Joe only has information on himself. Meanwhile CZ probably has significant records of widespread criminal enterprises. He can turn all of them in and save himself…he will just have to watch his back for the rest of his life after he gets out.

[@chillxxx241]

True

[@chillxxx241]

I wonder if Canada had a hand in the reduced sentence?

[@drmodestoesq]

@@chillxxx241 Yeah....Canada exerted its massive diplomatic pressure. Sure.

[@GrayShark09]

Many people shout out that they want a free market, minimal regulations or no regulations. But this would make it a heaven for criminals and drug lords.

[@impactguns2]

I am not defending this guy but HSBC was found guilty of all the same things in 2012. In Mexico they made the teller windows opening the size as shoe boxes, to make it easier for the Cartels to give them the money. Not a single person went to jail.

[@jim2376]

The cartels are more powerful than the Mexican government.

[@IJRPUBLIC]

He did not steel the money also given the open air prison in palistine college student seem to understand something is not right.

[@IJRPUBLIC]

College students stopped thr vietnam war, ended apartied in Aftica... lets hope they give the palistians a home and not a murder ous open jail. Jesus would not want this.

[@jim2376]

@@IJRPUBLIC Wrong forum. Take your pro-Hamas post elsewhere.

[@jim2376]

@@IJRPUBLIC This is about crypto, not Palestine.

[@CloningIsTooGoodForSheep]

It is rare for bosses of any big finance company to be charged with anything.

[@gerrycastlemanwarde5933]

The system was designed to protect the powerful!

[@flagmichael]

SBF is an exception, because he was directly involved in the misdeeds. Most are quite distant from the wrongdoing.

[@ColoradoN8CS]

who charges mom and dad

[@ololh4xx]

calling crypto schemes "big finance" is like calling a crack-addicted hooker a "delightful woman of class"

[@UniDeathRaven]

welcome to corporate feudalism 2.0, PEASANT.

[@isaganipalanca8803]

WTF!!!! A shoplifter gets more time for a first offense!!!!!!!!!!!!!!!!!!!

[@gerrycastlemanwarde5933]

Yes! The shop lifter is not rich or connected!

[@WhatsUpLand]

Not's not actually true - but certainly there are MISDEMEANORS that first offenders face more jail time over.

[@ronmorrell9809]

Where? Not California.

[@davidpnewton]

No they don't. Hence the plague of shoplifting currently occurring in many places.

[@pablosskates7067]

@@ronmorrell9809haha I was going to say the same thing. It’s now an even playing field in cali. We now have true quality. Let the homeless and the billionaires unite in the fight against capitalism! Equal suffering for all!

[@pupysb6267]

The difference in sentences for money laundering may vary by state, but that's if he's charged under State law in a State court. In this case, it's a Federal Case, under a Federal Court, so the punishment would be under title 18 of the US Code and calculated under the US Sentencing Guidelines. This case is purely Federal since it's under money laundering for terrorist entities designated by the US State Department. No state law here. Another thing, the sentence is so low, because he's probably cooperating with the Feds in order to file cases against others that may also be doing illegal stuff, and the Feds want that info. It's called a Downward Departure for Cooperation under the USSG

[@CJFreeza]

Probably the most accurate comment I've seen all week.

[@user-mn3cw6zc7x]

11,000+ years in prison? Was the judge on psychedelics? Will good behavior let him out in 9,000 years?

[@TomTomicMic]

5,046 years sentence for good behaviour and if his parents keep him at home for the remainder of the original sentence!?!

[@LucyBean42]

Woo! FOUR WHOLE MONTHS FOR 2 BILLION DOLLARS IN MONEY LAUNDERING! These friggin' people commit crime with impunity because the punishments are insultingly small compared to what they gain from it. Why am I still doing the right thing?

[@mrtodddelaroderie]

You know crime pays if you donate to the right people and have a high egs score. The rich and powerful see guys like this as a anti robinhood figure steal from the poor and give to the rich.

[@eugeneczerwinskyj3354]

Lucy, you are doing the right thing because you are a good person.

[@mrtodddelaroderie]

You do the right thing because your are a good person. You have a foundation and going against your moral compass will not award you but cause a lingering unoeace that no amount of money or power will fill. Unfortunately most people will just keep digging themselves deeper until they lose themselves and losses anything that makes you good. You can see it when they show billionaire houses. They are filled with expensive looking items but they look cheap and soulless. It's amazing how scummy rich people don't know what is good they just buy stuff because other people tell them it is good. That's why you see rich people spending millions on horrible art.

[@cetriyasArtnComicsChannel]

Because you don't got the connections and I personally can't stomach doing others wrong

[@user-uf4rx5ih3v]

Lifetime if you steal dippers from the supermarket tho.

[@Heretus]

Just for clarification : he was not charged / jailed for money laundering , he was charged for "not doing enough" to stop POTENTIAL money laundering just saying

[@typxxilps]

thanks for that : he did not fullfill all of his duties

[@CJFreeza]

That's basically like saying "he didn't underage drink, he just didn't realize underaged teens were drinking at his party" Like how stupid can you be?

[@Heretus]

@@CJFreeza actually that is more like "he did not hire enough security to make SURE underage did not enter the bar" If you can not understand the distinction , then I can assure you I am not the one being stupid

[@CJFreeza]

@@Heretus I think you misread my comment. How stupid can you be is direct and at the perp, not you by any means.

[@Heretus]

@@CJFreeza My sincere apologies , with that clarification I see what you meant

[@avi7278]

4 months 😂😂😂😂 he's got millions and millions hidden.

[@Wwhite1980]

Why hidden? His net worth is officially 40 Billion USD - nothing points towards anything being hidden

[@theseyi]

@@Wwhite1980it’s quite literally hidden. We don’t know that he has $40 billion, that’s an estimate. We don’t know where he stores his money. And it’s likely in banks and places all around the world.

[@salamandiusbraveheart4183]

Tens of billions of other people's money

[@gerrycastlemanwarde5933]

Money talks in America! Peasants go to prison for life, rich walk away with a fine.

[@WhatsUpLand]

@@gerrycastlemanwarde5933 - well, they do need to pay well connected attorneys a lot of money. The system and it's operators will forgive you for a cut of the take.

[@purplenaturellc733]

How come HSBC CEO didn’t go to jail for massive money laundering? How come mega global banksters didn’t go to jail? They were fined in the high billions 😂

[@chevyyyyyyy]

You don’t know why? I know; Rhetorical. I’ll be straight, though. They don’t do prison because they are in the donor class, donating to legislators who protect them with sweetheart laws.

[@ToddHendrix]

BTC a little over 10% from ATH, "Crypto is collapsing!", ROFL

[@michaelstreeter3125]

Bitcoin is really dead this time. It's collapsed from $72.7K to $62.4K. 😭💀

[@RogerKeulen]

@@michaelstreeter3125 Yes, dead as always. It bearly would trigger the circuit brakers, if it woud be traded on walstraat.

[@Gaza8143]

You need to do more research Joe. FTX was essentially trading with customer funds and lost customer money from many US citizens hence the lengthy prison term. Binance turned a blind eye / lacked governance for potential criminal activity but they also heavily restricted US clients on their platform. That's why the punishments are different

[@hamjudo]

How many customers did CZ have to expose in order to get the short sentence? We can also assume that Binance is sharing a whole lot more customer and transaction information with the FBI and IRS on an ongoing basis, otherwise those exposed customers would already be being arrested. Binance must be providing a great many golden eggs filled with evidence, as it hasn't been killed yet.

[@yousernameish]

Good point

[@gleeart]

Cz & sbf in prison to other inmates: "invest your commissary with me, I'll double it in a week".

[@OsmiFrank]

Your video serves as a calming beacon, particularly when financial markets are in tumult. Your analysis offers a prudent course of action, fitting seamlessly with the current stage of the economic cycle. Nonetheless, one cannot overlook the expanding mainstream adoption of cryptocurrencies since 2019, as well as the fervent discourse surrounding prospective Bitcoin and Ethereum ETFs. Might these elements sustain the market in this particular cycle? Speculation abounds that we are on the verge of a significant market upswing, making this a moment of great import for any discerning investor. My own portfolio, enriched by 32 bitcoins in a mere seven-week interval, serves as a compelling testament to Bradford Jackson's financial wisdom.

[@ManasaBabardebaj]

Profitable trading requires experience, a solid strategy, and preparation, which many lack. Understanding buy/sell ratios, identifying market leaders, and diversifying are key to reducing risk.

[@BalaKakaksq]

I heard his strategies are really good, How do I reach your Coach/mentor.

[@BalaKakaksq]

Please how can I reach out to him? I also want to benefit from his services..

[@BalaKakaksq]

Hi , please who is the expert assisting you and how do I reach out to them?

[@OsmiFrank]

He's mostly on Telegrams, using the user name

[@hawklord100]

Probably handed over the account details and user names who were mostly russian and gangsters, so got a reduced sentence.

[@chrissavage5966]

I confess I will never understand how most of the financial world is legal. Crypto even more so. It just looks the most transparent scam there is.

[@drmodestoesq]

A lot has to do with the fact that no one is forcing you to buy Crypto. And the late great Charlie Munger described it as radioactive rat poison.

[@JanBruunAndersen]

"Crypto even more so" - Do you really want to decide what I buy for my taxed salary? Why should the government care if I buy cheese or cryptocurrencies with my hard-earned fiat money?

[@drmodestoesq]

@@JanBruunAndersen Exactly. It's none of the government''s business if I want to buy weed or gamble my paycheck at the horsetrack.

[@Tond845]

Money laundering and scamming people out of money like SBF and the Turkish guy are different offences. Binance was fined as they "did not do enough" against money laundering. They had some things against money laundering but not enough apparently. They basically paid the fine to be still allowed to operate their binanceUS branch which will like bring in boatloads of money. The jail time for CZ is basically a slap on the wrist. They likely agreed on this in advance due to unclear regulatory rules and laws. If we look back at the financial crisis the ones responsible saw no jail time as a comparison. Regulation is a large problem for crypto and there are many bad actors in the crypto world. SBF had regular visits with the SEC and they did nothing. A serious company like Ripple is sued for billions while there is no set of regulations. US crypto regulation and response is a complete joke. Governments have no clue what to do. They are afraid of crypto as they have limited options to manipulate it which they can do with their local currency (dollar, euro, etc)

[@danchoxrp]

Yes. Exactly!

[@ThatGuy-bz2in]

lol yeah, instead a handful of (probably criminals) around the world manipulate it instead.

[@darioplant8029]

In Canada you decline to adress "They/Them" to someone demanding it and you get like 6 months in jail, hopefully next to this guy. The least he can do is invite you some decent food while there, I suppose.

[@curie3938]

I'm still po'ed that Sam Bankman-Fried didn't have to go to trial and reveal all the political contributions he received. Edit: contributions he made

[@ryaneylee]

Isn't it the other way round? He was the one splurging on political donations. Which isn't a crime according to US laws. And not the first time nor was he the only one doing such a thing.

[@Wonkaforever]

You mean he donated to both parties. Big difference.

[@icedcoffee8561]

He contributed to everyone, on both sides of the political spectrum. That's how this works, it doesn't matter who you send money to, you want it spread out.

[@yurinator4411]

"The trial began on October 3, 2023, at the Manhattan federal court, presided over by Judge Lewis Kaplan. Bankman-Fried faced seven counts of fraud and conspiracy. On March 28, 2024, the court sentenced Bankman-Fried to 25 years in prison. Under provisions of the First Step Act and in conjunction with other time credit programs, Bankman-Fried may actually serve approximately 18 years."

[@Mady-lo6qb]

@@yurinator4411 The trial for political contributions was a separate case.

[@taltracyn3198]

I think someone has done a deal and squealed for time off.

[@williewonka6694]

I think someone made a deal with the people who profited from his crimes.

[@1985Jesg]

Imagine calling out someone for fraud. Then getting charged with fraud yourself.

[@RogerKeulen]

Nope, he is not. Otherwise it would not be 4 months.

[@IronmanV5]

Big difference between CZ and SBF is that CZ plead guilty whereas SBF was found guilty after a trial. People pleading guilty usually do so as part of a plea deal that generally results in a greatly reduced sentence.

[@ronmorrell9809]

It's important to look at the fraction of transaction volume which was associated with laundering. While the fine indicates $2-billion was laundered (over what time period?), Binance was processing $12-billion daily ($2400-billion yearly). Laundered money was 0.08% of 1-year's transactions. Could you confidently convince a jury beyond reasonable doubt that criminal intent was involved?

[@aaron4387]

4 months for money laundering. Thats an absolute disgrace.

[@synewparadigm]

Bankers spend 0 time in jail for laundering for the Mexican cartel.

[@sheldonirving9529]

The sad thing is bankers never get jailed, and banks only get small fines.

[@My_Lacrimosa]

There's two rules in the world Rules for normal people Rules for the rich

[@LD-Orbs]

Well, for the powerful (who tend to be rich). Wealth without power can often (not always) just pay the fines with spare change. So, three set of rules: * Rules for normal people * Rules for the rich, but no power * Rules for the powerful, and therefore rich

[@alexhubble]

Money laundering must be punished. Agreed. Apple, then, should be prosecuted for off-shoring so much of its assets to Ireland, yes? There's a division of Unilever that operates in Holland to take advantage of a tax loophole for milk. €3bn booked through an office with no phone number. I mean I could go on.

[@assanchez7683]

Thank you for exposing the crypto scam.

[@LordOfTheThreeWorlds]

Joe! Your draw out on 11,196/y -vs- 4/mo was masterful. That's storytelling my man 🤣

[@simonjohn7011]

"CRYPTO Starts to Collapse" ? Tell that to Black Rock and the other US companies who where recently granted ETFs by the SEC. Oh and not to mention the recent BTC all Time High a few weeks ago.

[@kaiblade760]

It is obvious he despises crypto

[@LichtifyMe]

The Orange Pill will come soon enough for everyone. Dont worry. By nature you will then be richer than them 😅

[@floxy20]

Money laundering is illegal but is not stealing. It just allows others to use their ill gotten gains minus the discount.

[@flagmichael]

The essence of money laundering is allowing prohibited merchandise to be paid for with currency.

[@nigelsenchez]

You should do a story on banks and how many fines they have. Surprisingly no arrests.

[@aldorain2571]

all the transactions in bitcoin are public. Everybody can view all transactions between accounts (wallets). Traditional bank transactions are not public even for the states (ex: in tax heavens). This is why the financial system is build for money laundering. Publicly open cryptocurrencies ARE the solution against money laundering

[@franciscoknower5756]

Well ! CZ was living in the UAE where there is no extradition treaty, He came to the US to Face the charges voluntarily, the Judge said that the amount of people that wrote in on behalf CZ was extraordinary. This case brought against CZ was more vindictive than anyone being hurt or any wrong doing. There are a lot of bad people and Scammers in crypto but CZ was not one of them!

[@TomTomicMic]

Well he helped criminals and terrorists move their money around within his company which was set up in a way to evade regulatory authorities, not exactly innocent, he was convicted of aiding money laundering, it's unclear if he has squealed also!?!

[@franciscoknower5756]

@@TomTomicMicSo like ALL global banks then. HSBC & City - helping Mexican drug cartels. Let's not forget the LIBOR fixing scandal. Setting up fake accounts by Wells Fargo. Leaking KYC customer data and transactions for profit, Oh sorry that one is not out YET ! And how many people went to Jail.

[@philpaine3068]

If he's running crypto, he's a scammer. Crypto exists FOR NO OTHER REASON.

[@franciscoknower5756]

@@philpaine3068Except if you happen to live in Most of South and Central America, most Countries in Africa, China, Russia, Greece, Cyprus the list is long and getting longer. Watch this space for UK and Japan. You obviously live in a country where inflation isn't a problem!

[@philpaine3068]

@@franciscoknower5756 Idiotic nonsense.

[@siza6993]

Ever noticed how many times Joe uses "collapsed" to describe every economy, currency, asset etc.... And none of these has really "collapsed"?! Clickbait much?

[@adamndirtyape]

Exactly. I think this is the last video of his I'm going to watch.

[@Digmen1]

Yes what does collapsed actually mean?

[@stephenallen4635]

apparantly china had collapsed 50 times this past year

[@chrishooge3442]

I'm shocked, shocked there's gambling in this establishment.

[@JohnSnow-vf8jo]

Wow, this is a REAL deterrent to anyone thinking of embarking on a criminal crypto career.

[@avi7278]

Joe surely you know that even with all the regulations possible, terrorists would just use the ones who dont operate in the US/UK,etc. Its just putting unnecessary burden on those that are law abiding and not even offering a solution beyond making you feel better that the govt appears to be trying to do something. Its silly to call for regulating something that cannot be regulated, which btw was the whole point of crypto.

[@billytheweasel]

So, since people would rob banks anyway, even though it's illegal, just let them at it?

[@nicklll4477]

The IRS is already working on regulating crypto through tax returns. Whether crypto is traceable depends on whether the private companies facilitate it or not but it will be regulated through back door means.

[@tbone5654]

Joe gone a bit silly with this take. Looks quite the fool.

[@marcosmercedesn]

4 months?, that's a joke

[@eugeneczerwinskyj3354]

He should be given 1196 years!!!

[@danchoxrp]

No, he shouldn’t get any time at all. There’s no wrong doing. He wasn’t even operating in the United States, but the big banks in the U.S. wanted to take over his business, so they used their political ties end him. JP Morgan and the gaggle of crooks out of the United States get caught ACTUALLY breaking these laws all the time but do zero time.

[@LancerloverLL]

Why is it a joke? CZ pled guilty to failing to set up a required anti-money laundering program within the business, not to actual money laundering. That's 18 month max.

[@williamlloyd3769]

CZ has one hell of an exit strategy! PS - anti money laundering risk management takes a lot of ongoing management and expertise. This area grew from 5 people at my old Bank to a team of over 150 employees and a whole hell of a lot of IT integration. Not surprised Binance didn’t have a handle on this.

[@michelleagnew8780]

Informative video for sure! Thank you for making it!

[@effingsix3825]

Joe, he didn’t commit the crime of money laundering, he pled guilty to lack of controls against money laundering. He wilfully ignored requirements to implement controls. He, or his company paid a disgorgement fine of $4b. CZ also paid huge personal fines. The money-laundering groups using the Binance exchange are probably going to wind up being charged, but good luck at having them brought to Justice in the US. The prosecution failed to prove that CZ was at the heart of international money-laundering. But CZ accepted a plea bargain deal, which starts the ball rolling against ppl in the U.S. that provided direct assistance .

[@CJFreeza]

That's basically saying "he didn't underage drink, he just didn't realize underaged teens were drinking at his party" Like how stupid can you be?

[@effingsix3825]

@@CJFreeza I’m pretty sure the prosecution wanted more, but catching the actual criminals is probably why they accepted a plea bargain. Expect CZ to appear as a material witness in another trial.

[@seanpatrick1243]

4 months? Are you kidding me?

[@audifan2501]

he did not try to contest the charge and probably cooperated 100% wit uncle sam.

[@brendanthompson2082]

@@audifan2501 This is the real headline. That sentence means he was Queen for a Day and they liked what he had to offer in his proffer. He's singing like a canary and some big folks are going down.

[@mailbox3385]

Use your brains.

[@mickelodiansurname9578]

If you give me $43 billion I'll be delighted to spend 4 months in the clink... where do I sign?

[@galenmarek6949]

At least he didn't embezzled customers' funds. When the CIA funded Al Qaida, there was no charges. When they funded the contras, no charges so lease, give me a break.

[@scottmarquardt3575]

I put my fingers in a pumpkin pie when I was 15 in Seattle. I was almost a straight A student, after my adult brother beat me up and the cops got called I went to juvenile prison till I was 18. Something ain't right with Seattle Summary-if you like crappy weather go to London you'll have rules regulations sanity and hopefully no unwanted death

[@winterskiU]

Lol collapse, talk about hyperbole

[@nonordinaryreality2686]

He was laundering so much money i am amazed they didnt offer him a job in government

[@jimboo5802]

Don't worry they will. Biography contract and Hollywood movie will follow

[@ianturner1654]

No worse than all the big banks

[@bisayangdakodeay]

Collapse? You don’t know what are you talking about. The existing money system has more unknown bad actors. Please study more about cryptocurrencies Joe. Thank you

[@ann-ie4hc]

I'm new to investing, and I've lost a good sum trying out strategies I found in online tutorials. I would sincerely appreciate any recommendations you have.

[@gaspardfigueroa]

As a beginner, it's essential for you to have a mentor to keep you accountable. I'm guided by a widely known crypto consultant

[@gaspardfigueroa]

Nancy Williams Laplace

[@ReedMyresDavid]

This is correct, Nancy's strategy has normalized winning trades for me also and it’s a huge milestone for me looking back to how it all started..

[@Petch20]

Nancy is considered a key Crypto Strategist with one of the best copy Trading Portfolios and also very active in the cryptocurrency space.

[@KN0852]

The first step to successful investment is figuring your goals and risk tolerance either on your own or with the help of a financial professional but it's very advisable you make use of professional

[@williamashby3434]

Thanks!

[@nmcniven5145]

He should have had the max prison sentence. You have to wonder how much criminal activity was not uncovered. It is obvious the company goes to great lengths to make transaction data difficult to verify.

[@ianturner1654]

It's on the blockchain you can't.hide it

[@icedcoffee8561]

The "criminal activity" is mostly the fact that Americans used VPNs to access services that Americans shouldn't have access to. Basically, he tried giving Americans freedom. America doesn't like it's citizens having freedom of any kind, especially financial.

[@TomTomicMic]

​@@ianturner1654 North Korea does it on a daily basis through exchanges like Binance, it would be of little surprise if he had an Asian backer!?!

[@aguycalledbrad]

There will not be a collapse from this ruling. 100 thousand dollar bitcoin within months is more likely than collapse 😊. Also the USA is not leading the world in regulating crypto. The US has the worst regulations of the developed world, and they are only now scrambling to implement regulations years after the EU, Australia, Japan, Korea, Germany etc. There definitely needs to be better regulations.

[@flagmichael]

A critical part of the problem is that crypto is fundamentally international, and it is traded mostly on the internet... international again.

[@ryaneylee]

and yet it was the US that managed to indict bosses of the 2 largest crypto exchanges. i wish other countries can start prosecuting all the remaining cryptoscammers still out there

[@tonymckeage1028]

Great Video Joe, It looks CZ got off lightly, thanks for sharing

[@gav7900]

Wut? Collapses? Lol.

[@shannonnewman3091]

This is a wonderful day, I have never seen this one before.

[@rumplstiltztinkerstein]

Its just 4 months.

[@imepriimek398]

Crypto is not colapsing, this is complete nonsense. These people were charged for something they did years ago.

[@flagmichael]

@@imepriimek398 Crypto is floundering and has been since the beginning. Currency is supposed to be the foundation of the value of everything else, not a commodity all its own.

[@stephenevans6070]

Has the bloke with massive prison sentence also got a restraining order to stay away from his victims on release?

[@rickparker1144]

Good vid, Joe.

[@MarcPagan]

For a supposedly smart guy, SBF stupidly tried to hide out in the the Bahamas, ... rather than in a country with no extradition to the USA.

[@metalsteel5631]

bruh, i got imprisoned 6 years for evading $500 in taxes. when in reality i just couldn't afford to pay a tax specalist and did it myself and fucked it up because the tax laws are stupid and overly complicated.

[@cranberryeater7459]

You have to declare to the IRS the stuff you steal.

[@ogcaveman8120]

6 years for evading $500? I dont't believe that

[@metalsteel5631]

@@ogcaveman8120 when i got a letter with them telling me that my returns don't match what their data says, and told me to pay $500 + a proper fixed tax return, i just sent them a letter 'do it yourself. if you already know how much i owe then why do i have to do this stupid paperwork?' and then they froze my bank account. i went to the irs center to get it unfrozen, got arrested for tax evasion right on the spot. i'm out of prison now, but the bill has turned into roughly $10k with all the interest/late fees. not gonna pay that either, i'm probably going back to prison soon....

[@okerror1451]

A 6-year prison sentence for tax evasion of $500 would be highly unusual and unlikely. Penalties for tax evasion are typically proportional to the amount of taxes evaded, along with other factors such as intent, previous offenses, and cooperation with authorities. For a relatively small amount like $500, the penalty would likely be much less severe, possibly including fines, probation, or community service rather than a lengthy prison sentence.

[@metalsteel5631]

@@okerror1451 i was asian and they need more asians in prison to make it look more diverse. if you haven't been paying attention, the woke dems have been throwing the book at asians for any kind of crime just to imprison them. i didn't believe it either but even the black inmates felt bad for me. and the asian guys in prison are in for far less crimes than the average person.

[@karlburkhamer994]

Great and informative report Sir.

[@gerryphilly53]

The case was brought in U.S. District Court. That likely means he was indicted under Federal Law rather than the laws of the State of Washington (not to be confused with the District of Columbia). If any of the transactions occurred with a Washington State nexus, he could face charges in state court for those as the constituent states of the U.S. are considered to possess independent sovereignty to bring charges under their criminal laws without triggering double jeopardy.

[@MarksLearners]

It's wrong to say that cryptos are collapsing over this. This has happened many times with different companies.

[@waynegriffin858]

Far far more problems with laundering in fiat currency.

[@floxy20]

Do you know any other currency than fiat currency? As in currency you can BUY things with.

[@flagmichael]

It is exactly the same: money laundering is the process of using monetary trades and tricks to legitimize money that comes from illegal practices, notably large scale drug sales. Crypto just makes it vastly easier. Think of a major drug trafficker who does tens of millions of dollars trade in a year. Doing anything within an established market with that fat wallet gets the enforcement people after them, so they buy crypto with it. Crypto is essentially anonymous... perfect for money laundering. Is the subject serious? Yes, indeed! In the US all bank transactions greater than $10,000 have to be reported to the Treasury department. Businesses that do a fairly stable cash trade with income a little short of $10,000 per month sometimes find themselves in a nightmare, accused of "structuring" deposits to skirt reporting. There are several KZbin videos about those situations. Anyway, crypto is a preferred medium for money laundering. Nobody to report it to.

[@paulmurray8922]

Maximum sentence is 10 years but federal guidelines suggest 1.5 years and even that he didn't get. "Financial gurus".😂😂😂

[@ThatGuy-bz2in]

they didn't get him for money laundering. They got him for failing to put in rules to prevent money laundering. That has a maximum penalty that is much lower.

[@hcitron]

You are spot on.

[@gOtze1337]

huh. what a surprise, Crypto is used for Money Laundering.

[@VR_Von_Bruegge]

Say Whaaaaat?

[@kaiblade760]

Even the traditional fiat money is used for money laundering, you must be quite naive and ignorant if you think it's not.

[@GeoffRosenstein]

Not nearly as often as cash is though

[@VR_Von_Bruegge]

@@GeoffRosenstein this seems also true 😂

[@gOtze1337]

@@GeoffRosenstein on small Scale sure, but if u start buying lots of big Items with Cash some Institutions might ask u some Questions.

[@Skankhunt-42-]

Starting to collapse? yeah have you looked at prices lately? clickbait to the max

[@garethbarry3825]

I was very disappointed in the title of this video

[@flagmichael]

Indeed... where do you think that extra value came from, and why should it stick around?

[@Saltatory_]

SBF accused and convicted of fraud. CZ accused and convicted of money laundering. SBF singularly unrepentant. CZ pled guilty. See the difference?

[@josephleyva7471]

Great presentation Joe. Shalom

[@muuuuuud]

Bitcoin is above 64k right now. I invested when it was at 1200$, Sorry but i see no collapse. Just glad the bad actors are being taken out. Those huge fines being paid by the companies seem to make them just "one of the boys" of the financial sector really.

[@hexevolved8526]

I agree title is misleading.

[@seanpatrick1243]

And it is still just a pyramid scheme for grifters and criminals.

[@bubble75204]

Well done. I disagree with you though. CZ is not a bad actor. The establishment just don't like him. They supported Bankman-Fried and look at him - he was a bad actor.

[@UmbraWeiss]

Next year everyone will regret again not buying crypto... Like always.

[@flagmichael]

@@UmbraWeiss I will never regret gambling on crypto.

[@adamdonovan4071]

Bitcoin is up 4.6% today…total collapse. WTF Joe.

[@dantgr]

💯✅️

[@kaiblade760]

He tends to exaggerate sometimes.

[@THEFORBIDDENMAN-lk7of]

CROOK LOVE IT

[@adamdonovan4071]

@@THEFORBIDDENMAN-lk7of dude. It’s like you are ignoring that cash, which is anonymous, is infinitely more useful for money laundering. Every cash business on the planet could be used for money laundering and it would be nearly impossible to prove. Crypto is way harder to be anonymous with, the evidence is this case and that it was used to bring down Silk Road. There are lots of potential issues with crypto, (like SBF crimes)…but susceptibility to money laundering isn’t one of them…fiat is way more susceptible to laundering.

[@adamdonovan4071]

@@THEFORBIDDENMAN-lk7of fiat is infinitely more susceptible to money laundering…crypto has issues, but that ain’t one of them.

[@brucemcclelland2069]

Crooks always come clean AFTER being caught 😂😂😂😂

[@Joaodocaminhao0234]

Thank you

[@pjhgerlach]

The wonderful shady world of crypto.

[@ryaneylee]

The next one who should go to prison is the inventor of cryptocurrency. He used a pseudonym for a reason, to evade law enforcement.

[@icedcoffee8561]

🤣 smooth brain

[@jay429429]

Wow, the only ones more brainwashed that I know of are broke republicans voting against their own interests. This the equivalent of being like "Arrest the guy that invented the cure to cancer."

[@wrekced]

@JoeBlogs I think you need to look at the total ammount of funds processed and the total number of transactions compared to the amount they laundered. That will show the percentage of transactions that were proven to be illegal. Then you could estimate the prportion of the laundered funds more accurately.

[@geralddegraaf6148]

They did far more than the amounts calculated by the 2.0x. Maybe the finest are 2.5-10.0% of the total gain on laundering.

[@peterbroderson6080]

I do not understand why any country would allow a competing currency to operate in their country that can be used to avoid taxes and make illegal payments?

[@belegarironhammer3200]

That's not what's happening, dummy.

[@roseanne1466]

Because it was created by the cia to trace the criminals worldwide

[@Miyuki2319]

Because it's easier to track blockchain than cash. Govt. lets criminals think they can avoid consequences with crypto until they build up a big enough stockpile, then seize all the assets for a big tax payday. If the crimes are in cash, they have to jump on it immediately or the cash gets dispersed.

[@Wwhite1980]

The real facts are much much different. Corruption and Money Laundring involving real USD far outpaces crimes involving Crypto. The amount of corruption using USD is estimated between 1 and 2 trillion USD in USA alone. The involvement of Crypto in US is around 5-7 Billion.

[@hexevolved8526]

You really don’t understand crypto.

[@flagmichael]

Who really does? It is a creature of the mind that has found its way into the market.

[@dontsupportrats4089]

CZ confessed and said he was sorry and paid the fine. When white collar crime does that in the US they rarely face prison time at all. Usually a few months in jail and fine+probation.

[@uniformmike05]

He wasn’t convicted of/pled guilty to actual money laundering but not implementing good enough anti-money regulations that complied with FinCEN regulations at Binance. He prioritised Binance growth and revenue over effective AML routines.

[@jn71000486]

Money laundering shouldn’t be a crime.

[@Stuart.McGregor]

Joe, your assessment on this topic is pedestrian. You need to do better than this…

[@dipi71]

Not seeing any 15-minute assessment video of your own making anywhere, Stuart.

[@KharmaComa123]

100% agree. Dissapointed in Joe's assessment. Please do some more research. This is a new technology/space/industry similar to the wild west when the internet became available. Yes there are bad actors however the fundamental strengths of blockchain and cryptocurrencies remain.

[@dipi71]

@@KharmaComa123 New tech? New industry? Who are you kidding? I've known cryptography and blockchain algorithms since back in the 1980s. Bitcoin and some of its fellow bigger-fool coins are 10 to 15 years old. That's part of why I am a no-coiner.

[@Stuart.McGregor]

@@dipi71 that's because it only takes 15 seconds to check that Crypto has not collapsed... This headline is just clickbait.

[@dipi71]

@@Stuart.McGregor In that case, glad I'm wrong, and let the bigger-fools Ponzi schemes continue… without me. Cheers, Stuart!

[@chrisfraser05]

You're very off the mark on this one. This triggers the absolute opposite of a collapse. This clears a huge amount of uncertainty. Watch crypto doing climb from here

[@user-ib9ky2jo9h]

Cope 😂

[@seanpatrick1243]

How much do you have invested?

[@WhiteTiger.X]

Yeah crypto isn't his forte obviously. only 1-2% of world money laundering is done via crypto, most is via USD...it's all public (save Monero, Z Cash, other privacy tokens, tornado/washers) would be happy to chat with you Joe to go over how crypto will actually surpass most markets and how it'll tokenize many RWA (real world assets). Crypto is only midway cycle rn, watch for top within 6-12 months.

[@WhiteTiger.X]

The reason these founders are jailed is because the US / banks are finally ready to take advantage of it. Just like they did with healthcare / internet / etc. until they can make $ put regs on it, bash bash bash. Once they own it, "oh it's the savior for world, best tech" b/c powers with $ are terrible at developing, that's not their forte, it's mafia tactics.

[@OakSantosh]

Mostly crooked guys money is invested in crypto looks like 😂

[@innocentnicholus3264]

Snoop as a financial guru 😂

[@smallpseudonym2844]

I love Joe's incapacity to disguise his obvious amusement at an 11,000 yr prison sentence. I'm curious Joe, how many outtakes because you started laughing?

[@orlando47575]

what a stupid clickbait headline

[@ronnienestor]

If you watch the video, there is no click bait… the company agreed to pay 4.5 USD billion

[@orlando47575]

@@ronnienestor so how does that mean "crypto collapsing" LOL

[@geo8rge]

Will exchanging $4.3 billion of bitcoin for USD collapse the price of bitcoin?

[@adamndirtyape]

@@geo8rge No. It will cause a tiny blip. Bitcoin has almost 1.3 trillion in market cap now. Four billion is a drop in that ocean.

[@orlando47575]

@@geo8rge they have more than enough cash to pay that, for ex. USDT

[@deewells1965]

7:20: Incarceration is a huge cost to taxpayers. The courts went for the money.

[@eliakimbenishchayil]

That’s why his sentence was so low the state got a lot of money out of him.

[@charleshotchkiss1813]

Big money fine, loss of control of the company, short jail time. Sounds like there is an under the table deal to allow the Federal Government to follow a lot of money trails and watch the transactions of dangerous organizations with this guy's help and without publicity.

[@laurawalker6431]

Because he didn’t admit he was wrong and ran away! But Binance admitted mistakes and admitted they didn’t take care of it soon enough, was the difference but he still has to pay billions to be bail out of his sentence…

[@k98killer]

Tbh this sounds like Binance has become a legitimate member of the banking industry: US and UK banks regularly pay billions in fines for money laundering, and it's just the cost of doing business as a bankster. Fraud is unforgivable in the industry, but moving more money than the government thinks you should is just good business. It makes perfect sense that CZ got such a light sentence considering what he did was the opposite of fraud.

[@KiithNaabal]

Well, one got his prison sentence calculated on the offensichtlich comitted, the other one payed some "i am sorry" money and got a slap on the wrists.

[@faeself6510]

If he was tried in a federal court you should look at the federal laws and penalties not the state ones.

[@PapaGringo1]

Thanks Joe

[@The_Smirk]

Cryto and NFTS hype are dead. Turns out people are now realizing that these are just modern day tech scams.

[@ProfessorFickle]

I have some tulip stick to sell you. Nothing new.

[@jay429429]

Actually if you look at the charts it turns out that its growing faster then the internet did. Parabolic growth in users. I would seriously consider hedging with it if I where you... Our youth wont take the erosion of their dreams lying down. And trust me despite what we say about them.. they are smarter then we ever where.

[@Heretus]

Never understood NFT it sounded stupid to pay for images you can screen grab. but if you think crypto is dead you may have missed a few things including the buying power of FIAT compared to the buying power of crypto it is currently on a bull market but ok