Binance.US, the American affiliate of Binance, is exploring options to cut Changpeng Zhao from his stake in the company, The Information reports, citing two people familiar with the matter.
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The report says Zhao has been trying to sell at least some of his stake since last summer, however, it is unclear if he succeeded. Zhao speeded up his efforts to sell his stake after the US Commodity Futures Trading Commission (CFTC) sued Binance and Zhao himself, saying the trading platform offered unregistered products to US customers without proper registration.
Binance.US executives have reportedly discussed how removing Zhao from the majority stake might help the company stand through regulatory difficulties in the US.
In late April, bankrupt crypto broker Voyager said Binance.US terminated the asset purchase agreement. The exchange said in a tweet it had abandoned the deal due to the "hostile and uncertain regulatory climate in the United States."
The conditions in the country introduced an "unpredictable operating environment impacting the entire American business community," Binance.US added.
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