Binance.US, the American subsidiary of the global cryptocurrency exchange, is grappling with an executive shakeup that’s raising eyebrows across the industry
Binance.US is witnessing a significant departure of key executives from its legal and risk departments. Krishna Juvvadi, the Head of Legal, and Sidney Majalya, the Chief Risk Officer, have parted ways with the beleaguered company.
This exodus comes at a challenging time for the cryptocurrency exchange, which has been grappling with a lawsuit from the U.S. Securities and Exchange Commission (SEC) earlier this year for allegedly operating an illegal trading platform in the U.S.
CEO’s abrupt departure
Binance.US is currently navigating through a substantial leadership shake-up. Earlier this week, Chief Executive Brian Shroder stepped down. His exit aligns with the company’s second major workforce reduction this year, resulting in the dismissal of roughly a third of its employees.
This Miami-based crypto platform is reeling from legal and operational hurdles. Earlier this summer, the SEC accused the platform and its international CEO Changpeng “CZ” Zhao of mismanaging client assets, providing misleading information to both investors and authorities
More bad signs?
As reported by U.Today, respected crypto analyst Adam Cochran recently revised his outlook on Binance’s situation, suggesting that the implications of its downfall could be more severe and lasting than initially anticipated.
Cochran’s reassessment comes on the heels of an unconfirmed insider tip that, if verified, could significantly alter market perceptions. Known for his cautious takes, Cochran has hinted that the tip could trigger an unprecedented crisis for Binance and the wider crypto market.