In his remarks regarding the departure of managers from Binance amidst a regulatory crisis, the exchange’s founder, Changpeng Zhao (CZ), attempted to downplay the significance of these resignations and described the related news as “Fear, Uncertainty, and Doubt” (FUD). Managers leaving the company during an ongoing regulatory crackdown on the leading cryptocurrency trading platform has had a negative impact on its market share.
CZ affirmed in a tweet that the company has achieved significant growth in the past few years and continues to hire normally despite the departures of managers. Among the departed managers were Patrick Heilman, Chief Strategy Officer, Steven Christie, Deputy Chief Compliance Officer, and Huan Nguyen, General Counsel.
These resignations come amid mounting regulatory pressures on Binance, as it faces investigations and lawsuits in the United States, France, Belgium, and other countries over alleged securities law violations and money laundering accusations. Binance’s premises were recently searched in Australia at the request of Australian authorities.
In the United States, Binance is engaged in legal battles with securities and futures trading commissions, leading to a significant decline in its market share to just 1.5%. Its share in non-derivative trading volume has also declined for the fourth consecutive month in June.
According to reports, some Binance employees in the United States were asked to relocate, and those who refused were terminated. Despite these challenges, CZ insists that the company remains strong and continues to grow, considering changes in companies as a natural occurrence. However, the impact of regulatory pressures and legal issues on Binance affects its market share and increases concerns and uncertainties among investors
