Binance CEO Calls Reasons Behind Employee Turnover ‘Completely Wrong’

Binance CEO Changpeng “CZ” Zhao responded to recent media reports on several top executives leaving the company, calling them an attempt at spreading “FUD,” the industry’s colloquial acronym for fear, uncertainty, and doubt.

Fortune reported that General Counsel Hon Ng, Chief Strategy Officer Patrick Hillmann, and Senior Vice President of Compliance Steven Christie left their roles at Binance this week over CZ’s handling of the ongoing investigations against the exchange, which was initiated by the U.S. Department of Justice (DOJ) for alleged attempts to deceive U.S. regulators.

The publication also called the executives’ decision to quit the company “a management and strategic crisis for Binance at a time when it is navigating immense regulatory pressure.”

Without responding to these allegations, CZ said the company has been “extremely lucky to have some of the best talent the planet has to offer.”

“More FUD about some departures. Yes, there is turnover (at every company). But the reasons dreamed up by the ‘news’ are completely wrong,” he wrote on Twitter.

4. More FUD about some departures. Yes, there is turnover (at every company). But the reasons dreamed up by the “news” are completely wrong.

As an organization that has grown from 30 to 8000 people in 6 years, from 0 to the world’s largest crypto exchange in less than 5 months…

— CZ Binance (@cz_binance) July 6, 2023

Zhao added that reports of the company’s three execs in the same week are “false.”

“Only one this week,” CZ replied to one of the comments. “They exaggerate everything,”

Binance declined to comment beyond CZ’s statement.

Some of the Binance execs in question responded to the speculations too, with both Hillmann and Christie taking to Twitter to share their thoughts on the matter.

“It’s true that I am leaving Binance, but I’m doing so on good terms,” wrote Hillman, adding that he continues “to respect and support” CZ and thanks him for “the incredible opportunity to work under his leadership.”

Hillman further stated that his wife is going to give birth to their second child “any hour now (literally), so the time is right for me to step aside.”

Apologies for any typos, but I was not expecting to be tweeting about this today.

It’s true that I am leaving @Binance, but I’m doing so on good terms. I continue to respect and support @cz_binance and am grateful for having had the incredible opportunity to work under his…

— Patrick Hillmann (@PRHillmann) July 6, 2023

In a similar vein, Christie confirmed that he’s indeed leaving Binance, but the reasons for his departure “are very different than what was reported.”

“I have been in crypto compliance since 2015 when I joined Xapo, spending the last ~6 years straight leading and growing the Compliance functions at Kraken and Binance without a break. At this point, I am simply tired,” wrote Christie.

Citing health and family reasons, Christie added that he needs to spend more time at home because “as any ‘happily’ married person out there knows, happy wife = happy life.”

“So my departure is far less sensational than any article might make it out to be,” he said. “I am proud of the Compliance program at Binance, the work that is done day in and day out, and have nothing but respect for the highly talented individuals that dedicate themselves to doing the right thing. The Compliance function is in great hands with [Binance Chief Compliance Officer] Noah Perlman.”

I am proud of the Compliance program at Binance, the work that is done day in and day out, and have nothing but respect for the highly talented individuals that dedicate themselves to doing the right thing. The Compliance function is in great hands with @NoahBPerlman

— steven christie (@SKChristie9) July 7, 2023

Hillmann and Christie didn’t immediately respond to Decrypt’s request for comment.

Perlman, in turn, said that he was getting lots of calls from the media asking if he was leaving Binance.

“The answer is unequivocally, no! I’m proud to be part of this incredible organization as we navigate the growing pains of the crypto industry,” tweeted Perlman.

I’m getting lots of calls from media asking if I’m leaving #Binance . The answer is unequivocally, no! I’m proud to be part of this incredible organization as we navigate the growing pains of the crypto industry.

— Noah Perlman (@NoahBPerlman) July 6, 2023

In a separate report citing unnamed sources, Bloomberg said that Binance has appointed Eleanor Hughes, the company’s Head of Legal for APAC and MENA regions, as its new General Counsel.

Hughes’ LinkedIn profile indeed shows the new role, however, at the time of this writing Hon Ng’s profile is featuring the same position.

Hughes and Ng didn’t immediately respond to Decrypt’s request for comment.

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Source: https://decrypt.co/147626/binance-ceo-calls-reasons-behind-employee-turnover-completely-wrong