Binance CEO revealed that his company is seeking to hire a contingent CEO but CZ is still on board

Binance is feeling the heat from regulators. In the face of regulatory controversies and alleged unpaid $8 million philanthropy, Binance founder and CEO Changpeng Zhao (CZ) revealed that his company is seeking to hire a contingent CEO.

Binance is hiring Contingent CEO, but CZ isn’t leaving

“We are actively hiring leadership with regulatory and compliance experience,” CZ stated. “We would very much like to hire a strong compliance background CEO to show our commitment to compliance as this is the top priority of the organization.”

CEO Binance stated that contingency planning “starts on day zero,” adding that he felt that “CEOs should not stay for more than 10 years, ideally around 5 years.” Zhao founded Binance in 2017, and as such, that comment implies that he will leave his role soon.

binance-ceo-revealed-that-his-company-is-seeking-to-hire-a-contingent-ceo-but-cz-is-still-on-board

Changpeng Zhao, also known as “CZ”

Even so, CZ also said that “there are no immediate plans” to replace him as CEO and that “journalists like to misquote this.” He concluded that he is not planning to leave Binance and that CZ will contribute from another position if a new CEO is hired.

Binance’s plans around hiring a new CEO are part of a newly announced regulatory compliance strategy. And this information comes after it was reported that A charity headed by Malta’s President, George Vella, is suing Binance over the non-payment of over $8 million in donations.  The cryptocurrency exchange pledged the funds while it was pursuing licenses on the Mediterranean island.

The legal proceedings come amid a barrage of criticism directed at Binance by regulators worldwide in recent weeks. The biggest exchange globally has been the focus of attention from regulators in the UK, Italy, and Japan in recent weeks.

The Maltese regulator was one of the first to warn that the exchange was not licensed to operate in its jurisdiction back in February 2020.

Zhao also stated that Binance is reducing withdrawal limits for unverified users to strengthen KYC measures. The company is additionally limiting futures trading leverage on certain accounts and introducing a tax reporting tool for users. Onboarding a compliance-focused CEO will help the cryptocurrency firm meet those and other regulatory goals.

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