- Gabriel Abed, Barbados’ former ambassador to the United Arab Emirates, leads Binance’s new board of directors.
- The formation of the board is part of a settlement with the U.S., including a $4.3 billion fine.
Binance Holdings, has established its inaugural board of directors. This board is composed of seven individuals, featuring a mix of the company’s own executives as well as independent external members.
Gabriel Abed, former Barbados ambassador to the United Arab Emirates, leads the board. Joining him are Richard Teng, the CEO of Binance, Heina Chen, a co-founder of Binance, and executives from various companies and financial institutions.
The formation of this board is in response to a requirement of Binance’s settlement with U.S. authorities following a series of legal actions. This settlement included the payment of $4.3 billion in fines by Binance and the admission of guilt by its former CEO, Changpeng “CZ” Zhao, for failing to maintain an effective anti-money laundering program.
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Strategic Changes and Regulatory Compliance
This adjustment to the governance framework of Binance is a response to regulatory actions from the U.S. Securities and Exchange Commission, alongside prior settlements with the U.S. Department of Justice, the U.S. Department of the Treasury, and the U.S. Commodity Futures Trading Commission.
Establishing a board of directors that includes independent parties, along with committees dedicated to compliance and auditing, was a stipulation of these agreements.
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The board is intended to oversee Binance’s strategic direction and ensure compliance with global regulations.
This move towards a more formalized governance structure is seen as an effort by Binance to improve its relationship with regulators and strengthen confidence in its operations.
