Binance is undergoing a significant leadership change in the wake of regulatory actions by the U.S. Department of Justice. The newly appointed CEO, Richard Teng, formerly the head of regional markets outside the United States, takes the helm following the resignation of the founder and former CEO, Changpeng “CZ” Zhao.
The departure of CZ is a result of his guilty plea to charges brought forth by the DOJ.
In a public announcement, CZ expressed the difficulty of stepping down emotionally but acknowledged it as the right decision. He took responsibility for his mistakes and emphasized that the move was in the best interest of the Binance community, the company itself, and his own accountability.
The plea deal between CZ, Binance, and the DOJ revolves around alleged Anti-Money Laundering violations, resulting in a substantial $4.3 billion settlement for the company. Additionally, CZ is barred from holding an executive position in any cryptocurrency company and faces a $50 million fine, though he retains his ownership shares and avoids incarceration.
Richard Teng’s appointment as CEO was confirmed by CZ in a post on X, coinciding with the DOJ’s press event detailing actions against Binance. CZ praised Teng’s qualifications, citing his over three decades of financial services and regulatory experience.
Teng, in his inaugural statement as CEO, reassured Binance users about the company’s financial strength, security, and safety. He outlined three key focus areas, starting with instilling confidence in users, followed by commitments to security, transparency, and compliance, and driving the company’s growth in the next phase.