Renowned Canadian Businessman Changpeng Zhao Steps Down as Binance CEO Amid Legal Troubles
Crypto News – In an unexpected turn of events, renowned Canadian businessman Changpeng Zhao has made a startling announcement: his departure from Binance after a dedicated six-year tenure. This surprising decision came in the wake of Zhao pleading guilty to violating anti-money laundering regulations, leading him to step down from his role as Chief Executive Officer at Binance.
On November 22nd, Zhao officially confirmed his resignation through a post on the platform, stating, “Today, I stepped down as CEO of Binance.” He also expressed his best wishes for the incoming CEO, Richard Teng, who previously served as Binance’s Global Head of Regional Markets. Zhao, acknowledging the remarkable growth of Binance, expressed confidence in the company’s continued success, saying, “I know Binance will continue to thrive and achieve greatness with its talented team.”
Binance and Zhao had been under intense scrutiny in recent months, facing allegations of violating federal securities laws. These allegations included mishandling customer funds, providing inaccurate information to U.S. authorities, and engaging in deceptive practices that misled investors. In a significant development, Zhao pleaded guilty in a Seattle court on November 21st and agreed to a substantial settlement of $4.3 billion, which also included a personal penalty of $50 million. This settlement stands as one of the largest corporate penalties in U.S. history, according to the prosecution.
Zhao’s unexpected departure has sent shockwaves through the cryptocurrency industry, coming just weeks after the fraud conviction of FTX founder Sam Bankman-Fried. Prominent figures in the crypto world, such as TRON Founder Justin Sun, took to social media to share their reactions to Zhao’s exit from Binance. Sun expressed his sentiments on a platform called X, stating, “Over the past six years, you founded Binance, elevating the industry to unprecedented heights. Without you, the cryptocurrency industry wouldn’t have reached the pinnacle it enjoys today. While the thought of you leaving your position saddens me somewhat, the prospect of you having more time to rest and enjoy life genuinely makes me happy for you.”
In a subsequent tweet, Sun extended his respect to the incoming CEO, Richard Teng, and expressed optimism for the new era of Binance under his leadership. Sun also noted his willingness to further strengthen collaboration with Binance, driving development and innovation together.
Leave a comment