Source – livemint.com
Company Focuses on Learning from Past Mistakes
Richard Teng, the current CEO of Binance, the world’s largest cryptocurrency exchange by volume, spoke about the upcoming release of the company’s founder, Changpeng “CZ” Zhao, and emphasized how the company has grown from its past challenges. In a recent interview with Altcoin Daily, Teng highlighted the importance of acknowledging mistakes and improving operations in the wake of Zhao’s legal issues.
“We’re very happy that [Zhao’s] getting out,” Teng said in the interview, referring to Zhao’s upcoming release. “CZ and Binance paid a very big price. I think what’s important is that we learn from that and get much better.” Teng stressed that while Binance had faced difficult times, the focus moving forward was on improving the platform for its users. “We can do much better. We are invested in the future, and we will continue to pivot on that front,” Teng added, affirming that users remain the central focus of Binance’s mission.
In a candid moment, Teng shared advice that Zhao had given him before his imprisonment: “CZ always tells me, ‘Always treat your users right and they will treat you correctly.’” This statement underscored Zhao’s influence on Binance’s user-first approach, which Teng indicated would remain central to their strategy.
Binance’s Legal Troubles and Zhao’s Imprisonment
Last November, Binance’s founder and former CEO, Zhao, pleaded guilty to violations of the Bank Secrecy Act for failing to establish an adequate money laundering program. As part of a settlement with the U.S. Department of Justice, Commodity Futures Trading Commission, and Treasury Department, Binance agreed to pay over $4.3 billion in fines. While Zhao personally paid $150 million, the company faced the brunt of the penalties, resulting in significant financial and reputational damage.
Zhao’s legal troubles culminated in his sentencing to four months in prison in April this year, despite initially negotiating a plea deal that did not include prison time. Although prosecutors sought a three-year sentence, Zhao’s net worth—estimated at $43 billion—allowed him to present a defense with over 160 testimonials from business colleagues and friends. Some media outlets have dubbed him the “richest inmate” due to his immense wealth while serving time. Zhao is expected to be released at the end of this month.
When asked if Zhao would return to Binance in a more active role post-release, Teng was noncommittal. “CZ’s a major shareholder,” Teng said. “Those questions are meant for CZ, they’re not meant for me.”
Teng’s comments suggest that while Zhao remains a significant figure at company, his future involvement in the company remains uncertain and will be up to Zhao to decide.
As Binance continues to navigate through its legal and regulatory challenges, the company remains focused on the future, striving to improve its services and rebuild its reputation. With Zhao’s release approaching, all eyes are on whether the founder will step back into the spotlight or opt for a more subdued role within the organization.
Also Read: Binance.US Announces Suspension of U.S Dollar Deposits Amid Regulatory Turmoil
