Amidst the backdrop of escalating regulatory scrutiny, the U.S. affiliate of Binance is witnessing a departure of its top-level executive team. The news, reported by The Wall Street Journal this Thursday, discloses that Krishna Juvvadi, a pivotal figure in the legal domain, and Sidney Majalya, responsible for risk management, are disengaging from Binance.US, the U.S.-based subsidiary of Binance.
Binance.US has chosen not to comment on the situation.
These departures come in the wake of Tuesday's announcement that Brian Shroder, the company's CEO, is also stepping down, with the firm planning to trim its workforce by over 100 employees, equivalent to approximately one-third of its current staff.
The U.S. Securities and Exchange Commission (SEC) had previously filed a legal complaint against Binance and its founder, Changpeng Zhao, back in June, alleging that the creation of Binance.US was part of an intricate "fraudulent web" devised to circumvent securities regulations aimed at safeguarding American investors.
The string of executive resignations at Binance is not confined to its U.S. affiliate. The company's Global Head of Product, Mayur Kamat, tendered his resignation earlier this month, while Chief Strategy Officer Patrick Hillmann had already left the company in July.