SEC lawsuits squeeze net worths of Coinbase and Binance CEOs

The net worths of Coinbase CEO Brian Armstrong and Binance CEO Changpeng Zhao (CZ) have actually suffered heavy blows due to recent claims by the United States securities regulator. Armstrongs net worth was slashed by $289 million and Zhaos by $1.33 billion within a period of 30 hours after the Securities Exchange Commission (SEC) sued Binance on June 5 and then Coinbase on June 6, according to data from the Bloomberg Billionaires Index and Forbes.Zhao– the richest male in the crypto market and the 54th richest individual overall– had his net worth fall 5.1% to $26 billion this week.The SECs claim against Binance has added to Zhao falling two spots in Bloombergs Billionaire Index. Source: BloombergWhile the Binance CEOs net worth has rebounded by over 106% this year, he is still down over 73% from his greatest net worth of $96.9 billion in January 2022. Zhaos net worth has fallen from nearly $100 billion to $26 billion considering that January 2022. Source: Bloomberg Armstrong is ranked as the 1,409 th wealthiest individual by Forbes and took the bigger hit from the SECs most current action with his net worth falling 11.8% to $2.2 billion.Change in net worth of Brian Armstrong considering that 2019. Source: ForbesThe Coinbase CEO has managed to enjoy the rewards of a market rebound this year, with a 61% boost in net worth over that time.Despite the recent fall, Zhao and Armstrong have seen net worth boosts well above the 9% year-to-date returns for others on Bloombergs rich list.Related: SEC files motion for limiting order versus BinanceThe SEC sued both Binance and Coinbase declaring the exchanges broke different securities rules, most significantly for purportedly offering cryptocurrencies that the regulator thinks about to be unregistered securities. Following the suites, a total of 67 cryptocurrencies have now been classed as securities by the SEC.Binance and Coinbase have both verified they will “strongly” protect the lawsuits laid versus them.Magazine: Crypto regulation: Does SEC Chair Gary Gensler have the final say?