Binance.US CEO Steps Down Amid Major Layoffs And Regulatory Turmoil

What Happened: Shroder, has vacated his position as the company proceeds with a large-scale workforce reduction, as confirmed by CoinDesk on Tuesday. The crypto exchange has reduced its personnel by a third in a significant downsizing move.

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Binance.US has been under pressure, especially in the U.S., where it is facing legal action from the Securities and Exchange Commission (SEC) over suspected violations of securities laws. This is an addition to previous allegations from the Commodity and Futures Trading Commission (CFTC).

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In a statement, Binance.US said, “The actions we are taking today provide Binance.US with more than seven years of financial runway and enable us to continue to serve our customers while we operate as a crypto-only exchange.” The company highlighted the “real-world consequences for American jobs and innovation” due to the SEC’s stringent attempts to govern the industry.

Why It Matters: Cointelegraph confirmed that Binance.US has cut around 100 positions and that Shroder has left the firm. This move is aimed at providing the crypto exchange with a financial cushion for more than seven years, as it transitions to a crypto-only exchange.

Price Action: At the time of writing, Bitcoin BTC/USD was trading at $26,068.85, up 1.18% in the last 24 hours, according to Benzinga Pro.