Binance.US is focusing on growth in the United States following the dismissal of a major lawsuit by securities regulators. Changpeng Zhao, the co-founder of Binance, stated that this legal shift could create opportunities for improved banking relationships or obtaining a financial charter.
Despite not managing the day-to-day operations anymore, Zhao still holds the largest share in the company. He emphasized that these potential developments specifically pertain to the US business and do not extend to Binance's international activities.
The SEC's lawsuit against Binance and Zhao in June 2023 included serious allegations, such as operating an unregistered exchange and offering unregistered securities. By May, the case was dismissed following a change in regulatory stance and an agreement between the involved parties.
In this evolving regulatory landscape, the US government has shifted away from heavy-handed enforcement to a more structured regulatory framework under new SEC leadership. The establishment of a specific “Crypto Task Force” aims to maintain investor protection while fostering innovation.
The initial lawsuit led to Binance.US halting dollar transactions, a decision that severely affected its market standing for about 18 months, leading to a significant downturn in trading volume. In a separate development, Binance faced substantial penalties of $4.3 billion related to anti-money laundering violations.
Zhao subsequently served time in prison following a guilty plea tied to these charges, only to be pardoned later. His release sparked interest regarding possible future business ties between Binance and political figures from the Trump family, although Zhao has dismissed such speculation.
Despite the changes and challenges, Zhao has expressed no desire to reclaim the CEO position, indicating a focus on the future rather than returning to past roles.