Following his resignation as CEO of Binance, crypto billionaire Changpeng Zhao has now resigned as chairman of the board of directors of Binance.US – the American arm of the exchange giant.
- Binance.US confirmed CZ’s exit came in a post on X on Tuesday, addressing various concerns related to the Justice Department’s historic settlement with their parent company last week.
- “[CZ] decided to resign from his role as Chairman of our Board of Directors and transferred his voting rights through a proxy arrangement,” the company wrote. From now on, the interest of the founder of Binance.US will be “purely economic” which would leave him excluded from the management of the company.
- Binance.US is formally an independent entity from Binance, although various lawsuits from government agencies this year allege that both companies are effectively run by CZ. Binance.US maintains that it operates “independently of Binance.com.”
- The company noted that it is “not a party” to the settlements announced last week, nor is it facing “any outstanding enforcement matters with the DOJ, FinCEN, OFAC, or CFTC.” It is still being sued by the Securities and Exchange Commission (SEC).
- CZ pleaded guilty to Binance’s anti-money laundering violations on Wednesday and agreed to pay a $50 million fine along with his exchange’s $4.3 billion penalty.
- The billionaire has since expressed interest in exploring decentralized finance, although he has no plans to launch another crypto venture. His sentencing is scheduled for February, expected to be less than 18 months in prison.
Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% discount on Binance Futures fees first month (terms).