Changpeng Zhao, the well-known founder and CEO of Binance, the world’s largest cryptocurrency exchange, has resigned and is said to be on the approach of pleading guilty to violations of US money laundering legislation.
According to individuals close to the situation cited by the Wall Street Journal, this crucial move is part of a larger arrangement aimed at safeguarding the exchange’s ongoing operations.
The settlement in question is currently being negotiated with both the DOJ and the Commodity Futures Trading Commission (CFTC). Notably, the Securities and Exchange Commission (SEC) has remained notably silent in these proceedings.
In a parallel development, Binance reportedly reached a separate settlement with the Department of Treasury’s Financial Crimes Enforcement Network (FinCEN) and the Office of Foreign Assets Control (OFAC).
As part of this comprehensive settlement, Changpeng Zhao is expected to enter a guilty plea in connection with anti-money laundering charges, as confirmed by the Department of Justice. In response to these unfolding events, Zhao himself officially announced his resignation from the CEO position.
Effective immediately, X. Richard Teng is set to assume leadership responsibilities within the company.
