Binance CEO resigns, pleads guilty to breaking US laws

Changpeng Zhao, founder and CEO of Binance, the world's largest cryptocurrency exchange resigned on Wednesday. He has been found guilty of breaking US anti-money laundering laws. The crypto exchange will also pay a fine of 4.3 billion dollars (about Rs 35 thousand crores).

Zhao will not be able to hold any management position in the company for the next 3 years. Richard Teng, who was the global head of regional market in the company, has been made the new CEO. The Justice Department, the Treasury Department, and the Commodity Futures Trading Commission had been investigating the company for years.

US Attorney General Merrick Garland said, 'Due to its crimes, Binance became the largest crypto exchange in the world. It will now pay one of the largest corporate penalties in US history.

At the same time, Treasury Secretary Janet Yellen said in a statement, "Binance knowingly allowed terrorists, cyber criminals and child abusers to flow money through its platform."

After resigning from the post of CEO, Zhao wrote on social media platform X that Richard is a highly qualified leader. With his over three decades of financial services and regulatory experience, he will lead the company into its next phase of growth.

"Richard will ensure that Binance delivers on our next phase of security, transparency, compliance and growth", he added.

Zhao further said that along with Richard and the entire team, "I am confident that the best days are ahead for Binance and the crypto industry."

Binance was started in 2017 as a crypto-exchange. Binance has several cryptoexchanges in its ecosystem that it has acquired and built. Apart from this, it also has its own cryptocurrency, several crypto wallets and a launchpad to launch new cryptocurrencies.