The American affiliate of Binance, the world’s largest cryptocurrency exchange, has laid off one-third of its staff, i.e. more than 100 employees. A Binance.US spokesperson said CEO Brian Schroder has also left the company. forecast on Wednesday.
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Some facts
- The downsizing effort will provide Binance.US with “more than seven years of financial runway,” a company spokesperson said. forecast In an emailed statement.
- “The SEC’s aggressive efforts to cripple our industry and the resulting impacts on our business have real-world impacts on American jobs and innovation, and this is an unfortunate example of that,” the spokesperson said.
- Crypto exchanges have been dealing with increasing regulatory pressures in the US this year. In June, the company was sued by the Securities and Exchange Commission (SEC) for allegedly violating securities rules.
- The company’s chief legal officer Norman Reed took over from Schroder on an interim basis, a Binance.US spokesperson confirmed. forecast,
- Parent company, Binance, is also facing regulatory scrutiny from the US. The Commodity Futures Trading Commission (CFTC) filed a civil lawsuit in March against the exchange and founder Changpeng Zhao for “conducting a deliberately opaque” business to take advantage of regulatory arbitrariness.”
- The US Justice Department is also reported to be closely monitoring Binance with the possibility of pursuing fraud charges against the trading platform.
- Last week, Binance’s global head of product Mayur Kamat resigned from the company, according to Reuters.
See related articles: Binance denies Russia sanctions violations reported by WSJ
Source: forkast.news
