In 2024, US regulators have received more than $19 billion in settlements from crypto companies so far, representing almost two-thirds of all settlements to date.

Bankrupt crypto exchange FTX and affiliated trading firm Alameda are responsible for the majority of the funds, according to data in CoinGecko’s Oct. 9 report. These two organizations paid $12.7 billion to the Commodity and Futures Trading Commission (CFTC) in August.

With eight settlement agreements in 2024, regulators received 78% more net revenue than the $10.87 billion collected in 2023. However, this represents an 8.327% increase in settlement values ​​compared to 2022.

Total settlement amounts include forfeitures, forfeitures, civil penalties, settlements and pre-trial interest, but do not include individual lawsuits against executives.

According to CoinGecko research analyst Lim Yu Qian, the mid-2022 collapse of Celsius and Terraform Labs were “key events” in the transition from the crypto bull run to the bear market, which culminated in the collapse of FTX.

This incident triggered a new wave of regulatory scrutiny in the United States. Terraform Labs’ $4.47 billion settlement with the Securities and Exchange Commission (SEC) in connection with the collapse of the algorithmic stablecoin TerraUSD (UST) in 2022 was recorded as the second highest settlement of the year.

In 2024, Genesis took third place. The company reached a $2 billion settlement with the Office of the Attorney General (OAG) in August. Genesis filed for bankruptcy in January 2023. The year isn’t over yet, and Qian thinks 2024 could see a few more compromises by the end of the year, given regulators’ determination.

“With a few months left in the year, 2024 has recorded a 78.9% increase in settlement values ​​compared to 2023,” he said.

“As long as US regulators’ scrutiny of the crypto industry continues unabated, more settlements could be recorded in 2024 than last year.” A notable event in 2023 has particular significance as it was the only company still operating when the settlement was reached, Qian said.

“Binance’s settlement is a significant victory for US regulators as it is the only multi-billion dollar settlement awarded to an operating crypto company, but it ranks fourth in terms of monetary value,” he said.

In November 2023, Binance and its former CEO Changpeng “CZ” Zhao filed a lawsuit against several US regulators, including the Department of Justice (DOJ), Treasury Department, and CFTC, to resolve various charges, including Anti-Money Laundering (AML) requirements. agreed.

Since 2019, US regulators have collected approximately $31.92 billion in settlements from crypto companies.