A top manager and close associate of Binance CEO Changpeng Zhao, Guangying Chen, managed these accounts in 2019 and 2020. This allowed Chen and her team to move funds held in bank accounts. At the same time, funds from American clients were kept on one of these accounts.
This suggests that Binance exercised tight control over Binance.US, although both companies claimed that they always operated independently. However, Binance.US denies that Binance has ever managed the bank accounts of the US division of the exchange.
In April, Binance Head of Legal Krishna Juvvadi told Reuters that Binance.US operator BAM Trading has had “exclusive control” since its founding in 2019. However, Binance.US spokesperson Christian Hertenstein later stated that as of 2021, “no one other than Binance.US officials had control or access to Binance.US accounts.”
Yesterday, June 5, the US Securities and Exchange Commission (SEC) accused Binance and its founder of creating a “web of deception”, inflating trading volume, diverting customer assets, and trading unregistered securities. The latest SEC includes Solana (SOL), Cardano (ADA), Polygon (MATIC), Coti (COTI), Algorand (ALGO), Filecoin (FIL), Cosmos (ATOM), Sandbox (SAND), Axie infinity (AXS) and Decentraland (MANA).
Recently it became known that Binance is considering appointing a new person to the position of head of the crypto exchange. According to Bloomberg, Changpeng Zhao could be replaced by the current head of Binance in Asia, Europe and the Middle East, Richard Teng.
Source: Bits
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