Top Binance Executives and Many US Employees Quit Crypto Exchange Amid Crackdown

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PORTLAND, Ore. — Binance’s top executives who helped the world’s largest cryptocurrency exchange weather a growing regulatory crisis, including fraud allegations in the United States, are leaving the company along with many U.S. employees, according to people familiar with the matter.

Mr Patrick Hillmann, the company’s Chief Strategy Officer since late 2021, is leaving, he confirmed on Twitter, saying he was doing so on good terms.

Senior VP Compliance Steven Christie and Binances General Counsel Hon Ng have also departed, a person familiar with the matter said.

Ms. Eleanor Hughes, Binances’ current chief legal officer for Asia-Pacific and the Middle East and North Africa, will become the new general counsel, the person said.

Mr. Noah Perlman, who joined Binance in February from Gemini Trust as Chief Compliance Officer, remains with the company.

Binance has nearly 600 employees in the United States, according to LinkedIn.

During mid-year performance reviews in June, several of those employees were asked if they would be willing to move and some of those who refused were fired, the person familiar with the matter said.

Binance did not respond to a request for comment on any of the departures or information.

Binance faces a network of probes around the world.

The U.S. Securities and Exchange Commission (SEC) in June accused Binance and its founder Zhao Changpeng of mismanaging customer funds, misleading investors and regulators, and violating securities rules. movables.

Binance called the SEC’s action disappointing and said it intends to vigorously defend its platform.

Mr. Zhao and Binance are also being sued by the US Commodity Futures Trading Commission.

The US Department of Justice has also investigated the company, Bloomberg News reported.

On Tuesday, the Australian Securities and Investments Commission searched several Binance Australia sites, people familiar with the matter said. The action was part of an investigation into its now-defunct local derivatives business, people say.

The stock market has also faced regulatory backlash in recent weeks in France and Belgium.

Binance’s regulatory crackdown, from Australia to Europe and the United States, is becoming a drag on its business.

The heightened oversight has also prompted some banking partners to drop Binance, limiting customers’ ability to deposit and withdraw fiat on the exchange.

Binances’ market share has fallen as the crisis has deepened: the share of trading in non-derivative trading volume fell for the fourth consecutive month in June to its lowest level since last August, according to a report by researcher CCData. BLOOMBERG

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