Changpeng Zhao Steps Down as Binance CEO amid US SEC Probe

Insights:

•  Changpeng Zhao, popularly called CZ, has confirmed a shock exit from his position as Binance CEO.
• The shock announcement comes as part of a $4.3 billion settlement with the US SEC, according to Bloomberg reports.
• The exchange has immediately announced Richard Teng as the new CEO to replace CZ in a move that allayed market fears.

On Tuesday, November 21, Binance Founder Changpeng Zhao confirmed his exit as CEO. While a successor has been announced, the market sentiment surrounding Binance remains pensive.

Changpeng Zhao Confirms Exit as CEO of Binance

On Tuesday, November 21, the US Department of Justice reported that Binance CEO Chanpeng Zhao (CZ) has agreed to step down. Hours later, CZ confirmed in an X (Twitter post) that his set to “take responsibility” as he left his role as CEO of the world’s leading crypto exchange by trading volume.

The shock announcement comes as part of a reported $4.3 billion settlement with the US Securities and Exchange Commission (SEC), in which Binance admitted to being used “to funnel money to Hamas.”

Meanwhile, Richard Teng, who was appointed to oversee Binance’s regional markets outside the U.S. in June has been announced as CZ’s successor.

“It is an honour and with the deepest humility that I step into the role of Binance’s new CEO. We operate the world’s largest cryptocurrency exchange by volume. The trust placed on us by our 150m users and thousands of employees is a responsibility that I take seriously,” said Teng.

Teng’s wealth of experience in core areas of regulation and compliance stands out. Prior to heading the Financial Services Regulatory Authority at Abu Dhabi Global Market (ADGM), he was chief regulatory officer of the Singapore Exchange (SGX). He had also spent 13 years with the Monetary Authority of Singapore (MAS)