The crypto mogul’s interest in Binance.US will now be “purely economic.”
CZ, CEO of Binance
Following his resignation as CEO of Binance, crypto billionaire Changpeng Zhao has now stepped down as the chairman of the board of directors at Binance.US – the exchange giant’s American arm.
Binance.US confirmed CZ’s exit in post to X on Tuesday, addressing various concerns related to the Justice Department’s historic settlement with its parent company last week.
“[CZ] has decided to step down from his role as Chairman of our Board of Directors and transferred his voting rights through a proxy arrangement,” wrote the company. From now on, the founder’s interest in Binance.US will be “purely economic” leaving him uninvolved in the firm’s governance.
Binance.US is formally an independent entity from Binance, though various lawsuits from government agencies this year have alleged that both firms were effectively run by CZ. Binance.US maintains that it operates “independently of Binance.com.”
The company noted that it was “not a party” to the settlements announced last week, nor does it face “any outstanding enforcement matters with the DOJ, FinCEN, OFAC, or CFTC.” Its lawsuit with the Securities and Exchange Commission (SEC) is still ongoing.
CZ pleaded guilty to anti-money laundering violations at Binance last Wednesday and agreed to pay a $50 million fine alongside his exchange’s whopping $4.3 billion penalty.
The billionaire has since expressed interest in exploring decentralized finance, though he has no further plans to launch another crypto venture. His sentencing is scheduled in February, which is expected to be less than 18 months in prison.
Andrew is content writer with a passion for Bitcoin. He became familiar with Bitcoin back in 2013, but began diligently studying the blockchain technology and its economic implications in 2017. Ever since, he’s believed in the network’s power to replace the current global monetary system, and provide financial freedom to billions worldwide.
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