Binance Coin (BNB) crashes 12%, as CZ stepped down from CEO role
Changpeng Zhao (CZ) stepped down from the Binance CEO role amid the US investigation against the Binance exchange.
Binance is a top-ranked crypto exchange by market cap. This year, this exchange was sued by the top two financial regulators namely the Securities and Exchange Commission (SEC) and the Commodities Futures Trading Commission (CFTC) for offering unregistered securities offerings.
On 21 Nov 2023, A Coinbase director Conor shared information on behalf of Binance’s PoR reserves and claimed that the Binance exchange is ready to pay a tentative fine of $4.3 billion to US authorities.
According to the Coinbase director, the exchange currently holds $6.35 billion worth of funds in the reserves and the exchange will not be required to sell any crypto assets.
So far officially the Binance exchange didn’t talk about this amount of fine and any plan to give these fine to the US authorities.
Yesterday a report by Bloomberg claimed that Binance & US authorities were in talks to settle the case with a $4 billion fine. At the time, the majority of the people claimed that the report was baseless because Binance would always try to use the laws to fight against the charges, instead of giving away this huge amount of money to the US authorities blindly.
On 22 Nov 2023, Changpeng Zhao (CZ) announced that he stepped down from the CEO role and now Richard Teng is the new CEO of this exchange, who is the former head of regional markets at the Binance exchange.
Through a long tweet on the X social media platform, CZ said that it was really a good decision at a good time for him to step down from the CEO role because he was very busy with his work since last 6 & half years but now he will get a huge time for himself to focus on the other part of this innovative sector e.g Web3, Defi, etc.
Today, I stepped down as CEO of Binance. Admittedly, it was not easy to let go emotionally. But I know it is the right thing to do. I made mistakes, and I must take responsibility. This is best for our community, for Binance, and for myself.
— CZ
Binance is no longer a baby. It is…Binance (@cz_binance) November 21, 2023
Following this news, the trade price of the majority of the Crypto assets plunged by 5%. Notably the trade price of Binance Coin (BNB), the native token of the Binance exchange, crashed by 12% within a few hours of this news.
The current trade price of the BNB coin is down by 11.69% from the last 24 hours’ trade price.
Read also: Bitcoin is near to break the $38k level, here is the next move
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