Binance’s chief strategy officer, Patrick Hillmann, has announced his departure from the cryptocurrency exchange “on good terms” after a two-year tenure. This comes amidst reports of other high-ranking executives leaving Binance in response to an ongoing investigation by the United States Department of Justice (DOJ).
In a tweet on July 6, Hillmann confirmed his departure from Binance and mentioned that he is leaving to pursue new challenges. He also expressed gratitude for the opportunity to work under Binance CEO Changpeng “CZ” Zhao. Hillmann cited personal reasons, including expecting his second child, as a factor in his decision to step aside.
Fortune reported, citing sources familiar with the situation, that several Binance executives, including Hillmann, left the exchange due to dissatisfaction with CZ Zhao’s response to the DOJ investigation. It was further stated that general counsel Han Ng and senior vice president for compliance Steven Christie also departed from the company.
Bloomberg added to the report, stating that Eleanor Hughes, Binance’s head of legal for APAC and MENA, will assume the role of general counsel, replacing Ng. Additionally, Noah Perlamn, who joined Binance as chief compliance officer in February, will continue in their position.
The DOJ investigation revolves around allegations that Binance allowed Russians to use the exchange in violation of U.S. sanctions. In June, the Securities and Exchange Commission (SEC) filed a lawsuit against Binance, accusing the exchange of offering unregistered securities and misusing customer funds, among other charges. The Commodities Futures Trading Commission (CFTC) had also sued Binance in March, alleging improper registration with the regulatory body.
Cointelegraph reached out to Binance for comment but did not receive an immediate response.
The departure of key executives from Binance and the ongoing investigations by regulatory authorities pose significant challenges for the cryptocurrency exchange. The situation highlights the increasing scrutiny faced by the industry and its participants as regulators around the world seek to enforce compliance and protect investors.