Binance Loses Top Compliance Chief Gambaryan After 4 Years

Tigran Gambaryan, a former U.S. federal agent who led Binance’s financial crime compliance efforts, has announced his departure from the company after a tumultuous four-year tenure. Gambaryan, who previously served as an IRS investigator, joined Binance in 2021 when the crypto exchange was under growing scrutiny for its lax compliance with anti-money laundering regulations. At the time, Binance had no investigations team. Under his leadership, the company built a 100-person global unit staffed with former prosecutors and federal agents.

Gambaryan’s tenure at Binance took a dramatic turn in 2024 when Nigerian authorities detained him on allegations tied to the exchange’s operations. He spent eight months in prison before being released on humanitarian grounds following bipartisan U.S. political pressure. Gambaryan was ultimately cleared of charges, though Nigeria continued to pursue penalties against Binance. In his departure message, Gambaryan reflected on his time at Binance and expressed a desire to continue bridging the worlds of enforcement, technology, and compliance. “There’s a growing need for trusted, experienced operators, people who understand how to translate between technology, enforcement, and compliance,” he wrote. “That’s where I intend to continue making a difference,” he added.

Gambaryan’s departure from Binance comes as the exchange moves closer to resolving its legal issues in the US. Last week, the US Securities and Exchange Commission filed a joint motion with Binance to stay its case in federal court. The SEC had sued Binance in June 2023, accusing it and co-founder Changpeng Zhao of mishandling customer funds and violating securities laws. Binance and Zhao pleaded guilty to separate charges in November 2023, agreeing to pay $4.3 billion in penalties. Zhao was fined $50 million, stepped down as CEO, and served four months in US prison.

Before joining Binance in 2021, Gambaryan built a reputation as a top crypto crimes investigator for the US government, earning the nickname “Crypto Wizard” for tracing illicit blockchain transactions. At Binance, his work focused on enhancing the company’s anti-money laundering protocols and assisting global law enforcement with asset seizures as regulators intensified scrutiny of major exchanges. His efforts were instrumental in transforming Binance’s financial crimes compliance organization, making the crypto industry safer for all.

The episode highlighted the complexities and challenges faced by global crypto exchanges in navigating different regulatory environments. The incident underscored the need for clear and consistent regulatory frameworks to ensure the smooth operation of crypto exchanges and protect the interests of all stakeholders. Gambaryan’s departure from Binance is a significant development for the crypto industry, as it marks the end of a tumultuous period for the exchange. His contributions to enhancing financial crime compliance at Binance will have a lasting impact on the industry. As Binance continues to navigate its legal battles and regulatory challenges, the departure of a key figure like Gambaryan underscores the importance of robust compliance measures and the need for clear regulatory guidelines.