Binance.US seeks to reduce influence of Changpeng "CZ" Zhao

Binance.US is reportedly looking for ways to reduce Changpeng Zhao's majority stake. This is to reduce regulatory pressure on the company.

Binance.US and owner Changpeng Zhao went to reportedly looking to ways to reduce his stake in the exchange. To news portal The Information, a "person familiar with the matter" said that Binance's CEO has been trying to sell part of his stake since last summer.

Binance.US is the U.S. branch of the crypto exchange. Zhao founded the U.S. subsidiary in 2019, two years after the exchange launched. Since Zhao holds a majority stake in the U.S. exchange, reducing his stake could put the company in a more favorable position in terms of relations with U.S. regulators.

Binance.US management believes Zhao's involvement in the lawsuit recently filed by the U.S. Commodities and Futures Trading Commission (CFTC) may prevent the exchange from obtaining certain licenses.

By March 2023 the CFTC filed suit against the crypto exchange and Zhao. The charges include willfully evading federal laws and operating an illegal derivatives exchange on digital assets.