Binance.US, the crypto exchange’s US subsidiary, has slashed almost a third of its personnel — or 100 roles — with its president and CEO Brian Shroder also leaving the company.
A balancing act. To Cointelegraph, a US representative confirmed the layoffs and Shroder’s resignation, adding that the moves were taken to provide the exchange with “more than seven years of financial runway” while it transitioned to a crypto-only exchange.
“The [Securities and Exchange Commission’s] aggressive attempts to cripple our industry, as well as the resulting impacts on our business, have real-world consequences for American jobs and innovation, and this is an unfortunate example of that.”
Shroder joined Binance.US in September 2021, and his departure coincides with a flurry of regulatory actions filed against the company in recent months.
The SEC and the Commodity Futures Trading Commission sued Binance, Binance.US, and the exchange’s co-founder Changpeng “CZ” Zhao earlier this year, alleging that it operated an illegal exchange, traded unregistered securities, violated commodities laws, and mismanaged customer cash.
On June 9, the exchange halted dollar deposits and informed customers that it would also halt fiat withdrawal routes due to the SEC’s investigation.
Binance.The US subsequently switched to a crypto-exclusive exchange for two months, only to reintroduce USD ramps in August with a cooperation with MoonPay.
According to Reuters data, Binance.US’ market share in the United States fell from more than 22% in April to around 0.9% as of June 26.
Keywords: Binance.US layoffs, Crypto exchange transition, Regulatory actions impact
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