“I want to take responsibility and close this chapter in my life.”
This is the phrase that many of the crypto industry’s veterans can relate to. Coming from none other than the great CZ, the founder of the world’s biggest exchange Binance, it marks a whole new era of crypto compliance.
⚖️ Yesterday, Binance US, accused of conducting an unlicensed money-transmitting business, violating the International Emergency Economic Powers Act, and conspiracy, agreed to pay $4.3 billion in fines.
🙇 CZ personally made a deal with the US DoJ and pleaded guilty to “violating and causing a financial institution to violate the Bank Secrecy Act”. He stepped down from his position as CEO, passing the baton to Richard Teng. This is where it gets really interesting: CZ’s successor’s professional background says more about the new Binance direction than any press release.
💼 Before joining the exchange, Richard Teng held senior positions at Singapore’s central bank, the Singapore Stock Exchange, and Abu Dhabi’s Financial Services Regulatory Authority.
The man basically screams “compliance”, and the message sent by Binance to the regulators is clear.
💸 Binance saw $1.16 billion of outflows in the past 24 hours, according to DeFiLlama. However, this is not enough to shake the exchange’s leading position, as it still holds over $67 billion of assets, far beyond its runner-up OKX ($12 bn).
👋 What will CZ do now? Released on a $175M bail, he will be allowed to live in the UAE while he awaits sentencing. Professionally, he mentioned mentoring crypto startups and not planning any big project for the moment.