It has been just revealed that the Binance CEO is stepping down as part of a $4 billion settlement. Check out the latest reports about this below.

Binance CEO CZ steps down

Binance’s founder, Changpeng “CZ” Zhao, has stepped down as CEO of the cryptocurrency exchange as part of a $4 billion settlement reached with various United States agencies.

The announcement, made on Tuesday by Zhao and multiple regulatory agencies, marks the end of years of investigations by the Department of Justice and others into violations related to money laundering and sanctions.

“I made mistakes, and I must take responsibility,” Zhao wrote in a post to X, the platform formerly known as Twitter. “This is best for our community, for Binance, and for myself.”

Forbes just noted, that in a press statement, Binance said it would take responsibility for not having appropriate compliance controls.

“When Binance first launched, it did not have compliance controls adequate for the company that it was quickly becoming, and it should have.”

According to Forbes, Zhao is stepping down as CEO of Binance, but he will remain the company’s majority shareholder and be available for consultation on historical aspects of the business.

Richard Teng, a Binance executive, will take over as CEO following Zhao’s departure. Zhao pleaded guilty to anti-money laundering and sanctions violations in federal court in Seattle as part of a settlement with the Department of Justice.

Binance has also settled with the DOJ and Commodities Futures Trading Commission, as well as the Department of Treasury’s Financial Crimes Enforcement Network and Office of Foreign Assets Control.

Under the terms of a five-year monitorship, the Treasury Department will have access to Binance’s books and records.

“Because of the crimes committed, Binance became the largest cryptocurrency exchange in the world,” Merrick Garland, the US Attorney General, said during a press conference on Tuesday.

“Now, Binance has paid one of the largest corporate penalties in US history.”

Leave a Comment