Richard Teng got here to the fore of Binance after Changpeng ‘CZ’ Zhao stepped down, pleading responsible to costs from US authorities. Teng informed Cointelegraph in an interview that CZ can now not participate in day by day operations as a part of the $4.3 billion settlement with the US Justice Division.
The challenges forward
The brand new CEO is optimistic about Binance’s future. The trade’s regulatory omissions value it a fairly penny, and Teng believes the clouds are lifting. Binance has undergone a meteoric rise within the six years since its founding. Teng shared that Zhao constructed the trade from a workforce of some folks to a worldwide operation with hundreds of workers and greater than 160 million customers.
He admits there have been “gaps in compliance” within the early days, resulting in errors and breaches and the largest crypto-related settlement within the historical past of the US.
Person security stays high precedence
Teng assured the corporate has at all times maintained the protection and safety of person funds. There have by no means been any allegations of fund misappropriation. Binance will probably be topic to monitoring for a interval of 5 years and different compliance undertakings to ensure it “exits the USA utterly.”
The brand new chief of the trade should adjust to non-disclosure agreements concerning the hefty settlement. Binance is within the strategy of paying the $4.3 billion fine.
Unfair remedy
Mike Novogratz of Galaxy Digital and different distinguished figures within the cryptocurrency area have drawn consideration to the disparity between how Binance and conventional finance firms have been handled. Regardless of equally vital, if not greater compliance points, mainstream corporations don’t appear to have been topic to the identical remedy. Teng commented that monetary establishments have paid a complete of $90 billion in fines.
Probably the most regulated trade
The truth that Binance operates in additional than a dozen jurisdictions probably makes it the “most regulated trade globally” in response to Teng. What’s extra, it stays intensely centered on compliance.
Changing CZ
Teng expressed understanding that he can’t substitute CZ, however he can carry his experience and values to the desk in a altering context. He acknowledged Binance was a totally totally different firm with totally different wants six years in the past.
It stays a worldwide operation, however it now has two regional headquarters – France and the United Arab Emirates (UAE). Teng is acquainted with the latter, the place he lived for 9 years and labored as CEO for Abu Dhabi World Markets. On this place, he established a cryptocurrency framework for the native ecosystem.
Stipulations for mass adoption of crypto
In line with Teng, institutional adoption and readability of laws are the 2 stipulations for the mass adoption of crypto. The UAE attracts international crypto platforms as a base of operations within the MENA area.
The European Markets in Crypto-Belongings Legislation (MiCA) will help Binance develop into new markets. This was a problem earlier than. In June this 12 months, Binance was compelled to drag out of the Netherlands after failing to obtain a local virtual asset service provider (VASP) license.