Following the recent legal turmoil of Binance CEO Changpeng Zhao aka CZ pleading guilty over money laundering charges, a transaction of $3.9 billion of USDT has come to attention which Binance sent on November 9.
The transaction on Tron sent from Binance cold wallet to another address has raised concerns among the crypto community as it closely matches with the amount the U.S. Department of Justice sought for the settlement.
While the $4 billion DOJ settlement publicly came to be known on November 21, people are assuming that the transaction of $3.9 billion was probably for the settlement amount.
However, the sent through this transaction is Binance’s cold wallet which holds user deposits to the exchange. If the funds are really sent as settlement amounts, Binance will be directly using customer funds for its operations, noted on-chain analyst Dump Watcher.
The recipient address is labeled as “Binance 3” which currently holds $3.2 billion in USDT, as per the data from Tronscan.
The November 9 transaction of $3.9 billion USDT is recorded as the eighth largest Tether transaction on the Tron blockchain.
Also Read: U.S. Prosecutors Urge Ex-Binance CEO CZ to Stay in U.S
