Kenne Michael 
As the United States Department of Justice (DOJ) investigates the guilty plea of Changpeng ‘CZ’ Zhao, the former CEO and founder of Binance, to criminal charges, reports indicate that the US Securities and Exchange Commission (SEC) is still searching for evidence that CZ retains access to Binance US user funds.
US SEC On CZ Still Having Access To Binance US Assets
As part of the settlement with the DOJ, the founder of Binance recently tendered his resignation from the position of CEO.
The agreement additionally stipulated his release from jail in exchange for a $175 million personal recognizance bond.
CZ admitted guilt on charges of defaulting by failing to operate an effective anti-money laundering system.
Meanwhile, as the Wall Street Journal reported, the US SEC reportedly seeks evidence that CZ may continue to have “backdoor” access to Binance US assets.
The Commission initiated legal proceedings against Binance in June 2023, alleging illegal operation of a securities exchange.
Concurrently, the Commission investigated the possibility of a collapse comparable to the aftermath of FTX in November 2022.
Meanwhile, Binance’s legal entanglement transpires simultaneously with the rise in the stock price of its primary rival, Coinbase.
The $COIN stock price peaked at roughly $121 on November 27, 2023, the highest level since May 22, 2022.
What Comes Next for Binance?
In the wake of CZ’s guilty plea and subsequent resignation as CEO, the newly appointed CEO, Richard Teng, made a commitment to improve regulatory compliance.
Teng desires to establish a reputation based on trust and collaborate closely with regulators around the globe, which contrasts CZ’s leadership position.