Binance.US is confronting a wave of top-level exits as it faces increasing scrutiny from regulators. According to the WSJ, the legal department head Krishna Juvvadi, and Sidney Majalya, the chief risk officer, have recently left the company. These exits come shortly after former head of Binance.US Brian Shroder, who also parted ways with the company.
Juvvadi joined Binance.US in May 2022 after serving as Uber’s global head of operations compliance and has prior experience as a trial attorney in the U.S. Department of Justice’s Civil Rights Division. Majalya joined the firm in December 2021, after serving as Intel’s chief compliance officer.
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Executive Turnover Follows Regulatory Troubles
The departures are happening against a backdrop of a lawsuit filed by the U.S. Securities and Exchange Commission (SEC) against Binance in June. The legal action accuses Binance and its CEO, Changpeng Zhao, of operating without proper registration and trying to circumvent U.S. securities regulations. This lawsuit has compelled the company to scale back its operations.
A spokesperson for the company commented on the far-reaching effects of the SEC’s aggressive stance, stating it has real-world implications on American employment and innovation.
Neither of the departing executives has issued any comments, and Binance.US has yet to release a public statement.
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