According to information from Bloomberg, Binance is preparing to change its leadership team. One notable news is that Richard Teng will take over as CEO of this exchange, replacing Changpeng Zhao.
Richard Teng has a remarkable legal background and is considered a strategic choice by Binance to prepare for the legal issues impacting the crypto exchange. Before joining Binance in 2021, he spent 13 years in a senior position in the Central Bank of Singapore and 6 years in the Abu Dhabi free trade zone (UAE). Notably, he has been appointed as Market Manager for all non-US markets of Binance, including Asia, Europe and the Middle East – North Africa, from mid-May 2023.
This change shows that Binance is working to adapt to a stricter regulatory environment and find solutions to ensure the operation of the crypto exchange is regulated.
Currently, the community is worried about rumors about Changpeng Zhao (CZ) leaving the position of CEO of Binance, but so far, Binance and CZ have not made any official announcement about this. However, Binance’s appointment of personnel like Mr. Teng to the position of Global Head of Markets can be seen as a move to prepare for the regulatory issues the exchange is facing.
Binance has been the target of many national authorities since the collapse of the FTX exchange. For example, the New York state government and the US Securities and Exchange Commission (SEC) requested a halt to the issuance and start of the withdrawal of stablecoin BUSD, resulting in the disruption of the Binance-Paxos joint venture. The US Assets Futures Trading Commission (CFTC) sued CEO Changpeng Zhao for allegedly violating asset trading regulations. Binance US also canceled its acquisition of Voyager due to pressure from the US government, and rumors about the loss of its US banking partner. Changpeng Zhao has also had his stake cut in Binance US.
These regulatory issues have significantly impacted Binance’s operations and caused anxiety in the community. At the moment, it is not clear whether CZ will leave the CEO position, and the community is still monitoring the situation for more precise information.
Recent events have had a significant impact on Binance’s operations. Within 3 months, the exchange’s global spot trading market share has dropped from 57.5% to 43%.
Previously, in legal cases occurring in 2021, Changpeng Zhao mentioned the possibility of resigning to comply with requests from financial regulators, “if a suitable candidate is found”. One of the reasons why Binance has attracted the attention of regulators is that the exchange has not yet established an official headquarters. While there have been many indications that Dubai (UAE) might be that location, Binance has yet to officially confirm this information.