Brian Shroder, the CEO of Binance US, has resigned from his position in the company. This news comes at a turbulent time for the exchange, as it faces regulatory scrutiny and internal restructuring. It also comes as Binance US has reduced its workforce by a third, resulting in over 100 layoffs.
Binance has also experienced a number of executive departures. Its global head of products, Mayur Kamat, resigned earlier this month, and its chief strategy officer, Patrick Hillmann, departed in July.
The general counsel of Binance’s US subsidiary, Norman Reed, will temporarily replace Shroder to ensure stability within the company.
The actions we are taking today give Binance.US over seven years of financial runway and allow us to continue serving our customers while operating as a cryptocurrency exchange.
Spokesperson for Binance US
An Uncertain Period for Binance US
Shroder’s departure and the workforce reductions are part of a larger context. Binance, led by the always controversial Changpeng “CZ” Zhao, is under the scrutiny of multiple regulators worldwide. Regulators are circling around it, and the exchange is in the spotlight as lawsuits have been filed against both the exchange and its founder.
In fact, in June, the U.S. Securities and Exchange Commission (SEC) filed a civil complaint against the world’s largest cryptocurrency exchange, Binance, under the name BAM, and its founder and CEO Changpeng Zhao, accusing them of creating Binance.US as part of a “deceptive scheme” to evade securities laws meant to protect U.S. investors. Binance and Binance.US, on their part, have maintained that they operate separately.