Amid a global crypto crackdown, World’s largest Exchange, Binance has finally given up fighting and is now approaching authorities to re-establish itself as a Centralized business. After suffering the regulators’ wrath from different corners of the world, the exchange is now in conversation with multiple regulators, in lieu of acquiring their approvals. Furthermore, Binance will also start distancing itself from the expanding global crypto crackdown on unregistered platforms, according to the exchange’s CEO, Zhao Changpeng.
“As we run a centralized exchange, we have come to realize that we need to have a centralized entity to work well with regulators…We need to have clear records of stakeholders’ ownership, transparency, and risk controls.” Zhao told the South China Morning Post.
Binance has confirmed that to build a centralized headquartered financial institution, it will be giving up the essence of the blockchain, i.e., the decentralized method of operations. The exchange highlights, now that the cryptocurrencies’ market cap has reached $2 trillion, it is almost impossible to function without regulatory interference. Henceforth, they have also started preparing for the inevitable regulatory shift in the crypto industry.
“As the largest player in the industry, we need to prepare ourselves for the shift. We are making changes to make it easier to work with regulators,” said Zhao.
Binance Finally Gives In After consecutive regulatory actions
Binance’s regulatory remission has become evident as the exchange has failed to come up with any latest exciting launches or upgrades. This undisputed stagnancy in the world’s largest exchange offerings is the result of the long-term and expanding regulatory crackdown on Binance.
After suffering isolated and consistent attacks from multiple regulatory authorities globally, Binance is now taking steps toward compliance. Binance has been banned or warned by regulatory authorities of countries like the UK, Hong Kong, Japan, Singapore, Cayman Islands, South Africa, and many more.
“Binance welcomes developments to our industry’s regulatory framework as they pose opportunities for the market players to have greater collaboration with the regulators. We are committed to working constructively in policy-making that seeks to benefit every user.”, stated Binance upon its latest withdrawal from Product Offering in Singapore.