Changpeng Zhao resigns from Binance.US board

Changpeng Zhao resigns from Binance.US board

By Benson Toti - min read
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  • Changpeng Zhao has reportedly resigned from the Binance.US Board of Directors.
  • The former Binance CEO has also relinquished his voting rights in the US affiliate and will not participate in any governance decisions.

Binance.US has announced that Changpeng Zhao, who recently resigned as the CEO of the global crypto exchange Binance, has stepped down as Chairman of the Board of Directors.

CZ has also transferred his voting rights and will no longer be involved in the US-based crypto platform’s governance, according to a statement posted on X on Tuesday.

“As CZ transitions to life after Binance, he has decided to step down from his role as Chairman of our Board of Directors and transferred his voting rights through a proxy arrangement, whereby his interest in the company is purely economic and he will no longer be involved in our governance,” the company said in the post.

The update by the Binance.US team also pointed out that while it may share the Binance brand and technology stack with the global company that agreed a $4.3 billion settlement with the US authorities, that’s as far as it goes.

“Binance.US is not a party to the settlements announced last week, nor do we have any outstanding enforcement matters with the DOJ, FinCEN, OFAC, or CFTC.”

According to the statement, Binance.US is “fully operational” and will continue to serve its customers, offering the same products and services they did before the recent developments.

SEC sued Binance and Binance.US

The US Securities and Exchange Commission (SEC) sued Binance, founder Changpeng Zhao and its US affiliate Binance.US in June.

SEC’s charges include allegations that Binance operates unregistered exchanges, broker-dealers and clearing agencies. The world’s largest cryptocurrency exchange by trading volume also misrepresented trading controls to let high-value US customers trade on the platform.

The regulator also alleged the crypto platforms offered and sold unregistered securities.