CEO of Binance.US, Brian Shroder, has quit his position as the cryptocurrency exchange faces legal heat from US regulators. This comes alongside the company cutting more than 100 jobs in a second round of layoffs.
Binance.US CEO Quits
Shroder, who took the helm in 2021, will be temporarily replaced by Binance.US’s Chief Legal Officer, Norman Reed. Binance.US has also laid off one-third of its workforce, indicating increasing pressure on the cryptocurrency exchange.
The company also cut one-third of its workforce in the country. That totals to about 100 people losing their jobs.
A spokesperson for Binance.US explained the situation: “The actions we are taking today provide Binance.US with more than seven years of financial runway and enable us to continue to serve our customers while we operate as a crypto-only exchange. The SEC’s aggressive attempts to cripple our industry and the resulting impacts on our business have real-world consequences for American jobs and innovation, and this is an unfortunate example of that.”
Read More: Binance vs. SEC: Exchange Labels SEC’s Requests as “Unreasonable” in Latest Court Filing
The Backdrop of Legal Battles
The recent developments follow intensifying legal and regulatory action against Binance.US and the international platform Binance, particularly from US federal authorities. However, Binance CEO Changpeng Zhao has recently refuted the negative news on X (formerly Twitter). He also highlighted the company’s achievements so far in 2023 in the tweet.
Given the wider implications of these events, crypto advocates and users will likely be monitoring this situation closely as it reflects the broader regulatory landscape for cryptocurrency exchanges in the United States and beyond. The fate of Binance.US could serve as a litmus test for the industry’s resilience in the face of regulatory headwinds.
