Binance.US Volume Drops Amid Crisis
As of September 16, Binance.US volume was $5.09 million, despite executive departures and regulatory scrutiny.
Binance.US trading activity has fallen to new lows as the company faces unprecedented challenges. Amberdata’s The Tie Terminal reported that Binance.US had a volume of $5.09 million as of September 16th.
On September 9th, the trading volume was only $2.97 million. This is a dramatic decrease from September 17, 2022, when trading volume was approximately $230 million.
Binance.US, the US branch of the global crypto exchange Binance. The Securities and Exchange Commission (SEC) filed a lawsuit against both crypto exchanges on June 5 for violations including unregistered securities offerings and wash trading. According to the SEC, Binance.US failed to register as a broker-dealer and failed to officially register its staking service.
Binance.US has suspended trading in over 100 token pairs since the lawsuit. This contributed to a dramatic decline in stock market activity.
The turmoil at Binance.US is not just limited to external challenges. Brian Shorder, the former CEO of Binance.US, resigned last week. He joined a number of other global executives who have left the group in recent weeks. Binance.US General Counsel Krishna Juvvadi and Chief Risk Officer Sidney Majalya announced their resignations after Shorder left.
The resignations were reportedly due to a US Department of Justice investigation into Binance, CEO Changpeng Zhao and Binance.US. CZ responded to speculation about Shorder’s exit by saying on X (formerly Twitter) that the executive was taking a “deserved rest.” CZ wrote:
“Under his leadership, Binance.US has raised significant capital, improved its product and service offerings, and consolidated internal processes. All of this has helped build a stronger company that benefits customers. We thank him for his contribution.”
Binance.US’ problems appear to be far from being solved. The SEC recently accused the exchange of failing to cooperate with the ongoing investigation. She claimed she only produced 220 documents upon discovery. On September 15, a judge granted the SEC’s request to unseal documents in the case. The SEC requested that these documents be sealed or redacted. They are now being unsealed. Documents are expected to be available in the next few days.
