Binance is feeling quite a bit of turmoil as Patrick Hillmann, the company’s chief strategist, announces his departure. According to reports, other compliance directors in the United States are also resigning, fueling rumors and uncertainty surrounding the situation.
Mysterious circumstances of the decision
On July 6, Patrick Hillmann, who served as Binance’s chief strategist for two years, used Twitter to announce his departure. “I’m leaving Binance, but I’m doing it on good terms.” – he wrote, without providing further details.
In an interview later, Hillmann revealed that it was simply time to take on a new challenge. He also said he was expecting the birth of his second child, which hastened his decision to leave. His resignation has generated even more interest due to the difficulties Binance is currently experiencing.
Patrick Hillmann’s tweet was a direct response to an article in Fortune, which suggested that a number of Binance executives, including Hillmann, were leaving the company. This was allegedly in response to CEO Changpeng Zhao’s (CZ) actions during an investigation by the US Department of Justice. The article cited an inside source.
Rebellion on the board of Binance?
In addition to Hillmann, General Counsel Han Ng and Senior Vice President of Compliance Steven Christie have also decided to leave the exchange, which only confirms the atmosphere of unrest inside Binance. Reacting to the reports, Changpeng Zhao commented on the issues on Twitter, calling them “FUD” and maintaining that the reasons for the departures are false and completely untrue.
In a separate report, citing its sources, Bloomberg reported that Eleanor Hughes, Binance’s former head of legal affairs for Asia-Pacific and the Middle East and North Africa, will take over as general counsel. She will replace the outgoing Han Ng. Noah Perlamn, who joined the company as chief compliance officer in February, will remain in his position.
Binance with a list of serious allegations
In addition to internal personnel changes, Binance is also facing an investigation by the U.S. Department of Justice for allowing Russians to use the exchange in violation of U.S. sanctions.
In June, the Securities and Exchange Commission (SEC) filed a lawsuit against Binance, alleging, among other things, offering unregistered securities and misusing customer funds. In addition, in March the Commodities Futures Trading Commission (CFTC) also brought charges against Binance for improper registration with the regulator.
The personnel changes and legal problems affecting Binance are creating a storm in the cryptocurrency market and raising questions about the exchange’s future. Time will tell what the future of this major crypto platform will be.
