Binance cancels major coins including APT and AXS following DOJ settlement
Binance CEO Changpeng Zhao has resigned and pleaded guilty. Binance Deletion of 10 Major Coins as Regulatory Response. Binance establishes leadership and pledges to abide by it.
Binance, the world's largest cryptocurrency exchange, is in high gear in response to a new settlement with the US Securities and Exchange Commission (SEC).
The exchange announced the cancellation of 10 major trading pairs, including popular cryptocurrencies such as Aptos (APT), Axie Infinity (AXS) and Filecoin (FIL).
Changpeng Zhao's resignation and $4B fine
In a surprise move, Binance founder Changpeng Zhao, commonly known as CZ, has decided to step down as CEO following a comprehensive settlement with the SEC that we previously reported.
The action follows criminal charges against Binance, including violations of sanctions and money transmitter laws. As part of the agreement, CZ pleaded guilty to charges related to violating the Bank Secrecy Act and causing a financial institution to violate the law. The fines from these lawsuits totaled a staggering $4.3 billion, making it one of the largest settlements the United States has ever received from a corporate defendant.
Today I step down as the CEO of Binance. It wasn't easy to let go emotionally. But I know it's the right thing to do. I made a mistake, and I have to take responsibility. This is great for the community, Binance and myself.
Binance is no longer a baby. is it…
— CZ 🔶 Binance (@cz_binance) November 21, 2023
The details are consistent with the control failure
Binance's decision to cancel 10 major trading pairs, including APT, AXS and FIL, is particularly in line with the regulatory turmoil surrounding the exchange.
According to Binance's official announcement, the affected pairs are specifically tied to Binance's stablecoin, BUSD. The cancellation coincides with Binance's suspension of BUSD-related services.
However, this move comes after Beyoncé employees revealed that the company was knowingly serving users in violation of US laws. The SEC investigation has reshaped Binance's operations.
Binance pledge to restructure and honor
In response to settlement and regulatory challenges, Binance has acknowledged the decisions made with various agencies.
The exchange highlighted its commitment to restructuring over the past few years, highlighting “new leadership with deep compliance experience.”
Richard Teng, former Abu Dhabi controller and regional market head of Binance, is set to take over as the new CEO. Despite the obstacles, Binance has expressed confidence that it will emerge as a strong company laying the foundation for the next 50 years.
As part of the agreement, Binance will have to appoint an independent compliance monitor for three years and report on its efforts to comply with US regulations.
These developments mark a turning point in the cryptocurrency industry, highlighting the regulatory and regulatory challenges being faced by major players. As Binance navigates the fallout from the SEC settlement, the disclosures are a strategic move to align its operations with regulatory expectations and pave the way for a new era under new leadership.
