Breaking the law with new tech doesn't make you a disrupter: Rajeev Chandrasekhar weighs in on the Binance case

Union minister of state for electronics and information technology Rajeev Chandrasekhar

Using new-age technology to break law won’t make Binance a disrupter, said Minister of State for Electronics and Information Technology Rajeev Chandrasekhar on November 22, reacting on the world’s largest crypto exchange facing money laundering charges.

Binance’s CEO Changpeng Zhao (CZ) too had to step down from his role pleading guilty to breaking U.S. anti-money laundering laws as part of a $4.3 billion settlement following years-long probe.

Chandrasekhar had reposted CZ’s X (formerly Twitter) post announcing his exit from the top role, saying, “Lesson to be learnt from Binance, FTX and other "crypto" companies. Using new technology to break the law does not make you a disrupter. It makes you a criminal. PM @narendramodi ji govts approach since 2022 to deterring crypto speculation has saved countless Indians from crypto meltdown & losses.”

Lesson to be learnt from Binance, FTX and other "crypto" companies

“Using new technology to break the law does not make you a disrupter. It makes you a criminal,”

PM @narendramodi ji govts approach since 2022 to deterring crypto speculation has saved countless Indians from… https://t.co/9h18YAXyA4

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— Rajeev Chandrasekhar

CZ is one of the most influential global voices in the crypto world. His exit from the company, coming just a year after Sam Bankman-Fried’s FTX debacle will only make it difficult for the crypto industry in ongoing negotiations with regulators globally to come up with a common regulatory framework, industry experts told Moneycontrol.

Binance’s new CEO

While sharing the news of his exit as the CEO on Twitter, CZ announced that Richard Teng will be taking over the top role. Until now, Teng was the Global Head of Regional Markets at Binance.

Teng comes with over three decades of financial services and regulatory experience. Prior to joining Binance, he was the CEO of the Financial Services Regulatory Authority at Abu Dhabi Global Market (ADGM); Chief Regulatory Officer of the Singapore Exchange (SGX); and Director of Corporate Finance at the Monetary Authority of Singapore.

“Today, I stepped down as CEO of Binance. Admittedly, it was not easy to let go emotionally. But I know it is the right thing to do. I made mistakes, and I must take responsibility. This is best for our community, for Binance, and for myself,” CZ wrote.

He added, “Binance is no longer a baby. It is time for me to let it walk and run. I know Binance will continue to grow and excel with the deep bench it has. I’m pleased to announce that@_RichardTeng, our now former Global Head of Regional Markets, has been named the new CEO of Binance today.”

CZ called Richard a “highly qualified leader and, with over three decades of financial services and regulatory experience,” who will navigate the company through its next period of growth.

“He will ensure Binance delivers on our next phase of security, transparency, compliance, and growth,” he said.

As a shareholder and former CEO CZ said he will continue to consult the team as needed. But for now, he will be going on a break.

“I have not had a single day of real (phone off) break for the last 6 and half years,” he joked.