In a new twist at Binance.US, Brian Shroder, the CEO, has decided to part ways. His exit comes at a time when several top executives have already bid adieu to the company. Additionally, Binance.US is set to reduce its workforce significantly.
Top Brass Reshuffling
Brian Shroder’s departure has led to Norman Reed, the exchange’s Chief Legal Officer, stepping up to fill the vacant CEO position. This move comes in the wake of several other notable departures from the exchange over the course of the year.
Binance.US is gearing up for a significant workforce reduction. A whopping one-third of its employees, translating to over 100 positions, will face layoffs. A company representative remarked, “We’re ensuring Binance.US has a solid seven-year financial foundation. This strategy allows us to focus on serving our clientele as a dedicated crypto-only exchange.”
Binance.US: A Background
Launched in 2019, Binance.US was a strategic move to cater to American customers. This was due to the inability of US users to access Binance Holdings directly. While Binance Holdings took strides in its global expansion, its US counterpart faced turbulence. The US Securities and Exchange Commission (SEC) took a stern stand against Binance Holdings, its CEO Changpeng Zhao, and Binance.US earlier this year. Accusations ranged from mismanagement of customer assets to misleading investors and flouting securities rules.
Previous Downsizing and SEC’s Stance
After the SEC’s interference, Binance.US already underwent staff cuts in June. However, details about the exact number of layoffs remain under wraps. The company representative conveyed the broader impact of the SEC’s moves, stating, “The SEC’s forceful efforts against our sector not only hurt our business but also hamper American innovation and job prospects, as evidenced now.”
Binance’s top-tier has seen significant exits this year. Key figures like Mayur Kamat, the global product head; Hon Ng, the general counsel; Patrick Hillmann, the strategy head; and Steven Christie, Senior VP for compliance, have all left their roles.
