BCGAME - Free 5BTC Daily Bonus!There have been many developments in cryptographic space since its inception. But it appears that regulatory authorities are waking up to strengthen the system.
Amid such concerns, Binance CEO Changpeng Zhao opines that the crypto industry may grow and develop, but the regulatory framework is not defined.
According to him, Binance is not anti-regulation. But instead, the exchange is willing and ready to cooperate with regulators.
Changpeng Zhao made this statement in an open letter on Tuesday, where he also mentioned that the industry had grown a lot since the launch of Binance in 2017.
Therefore, all the regulatory issues surrounding cryptography have not stopped industry players from moving forward with growth and expansion.
In this article, we will discuss:
Does Binance comply with regulations?
There have been many regulatory issues surrounding Binance encryption from four years ago. Many countries have stopped operations due to non-compliance with financial laws.
In addressing this situation in the open letter, Zhao mentioned that the team is willing and eager to collaborate with regulatory authorities.
According to the CEO, Binance aims to become a positive contributor and complying with the law is the best way to do it.
But considering what's happening in the encryption industry, Binance's CEO also mentioned that there is no clear regulatory framework for encryption in many countries.
But even so, he opines that the more pressure for regulation increases, the easier it will be for the crypto industry to emerge solidly.
Regulations mean more maturity and, with it, there will be more trust, participation, adoption and expansion.
When people discover that there are regulatory guidelines for cryptographic operations, their confidence will increase, driving more adoption. As for compliance, the CEO said it is a journey into new emerging industries such as cryptocurrency.
He, however, mentioned that as the sector grows, players should expect more responsibilities and complexities that growth brings.
Binance ready to partner with regulators
Also in his open letter on Tuesday, CEO Zhao wrote that Binance is committed to partnering with regulators. He also referred that the company is prepared to hire and put in more processes and systems to safeguard the interests of users, given the growing growth of the platform.
Zhao also wrote that the company has been joining its “international compliance team and Advisory Board” since last year. Now they have grown 500% with the addition of global regulators like the “Financial Action Task Force”.
The CEO also mentioned that Binance has not failed to comply with the “Anti-Money Laundering” requirements for users of its platform. In addition, the company has been working with CipherTrace, a cryptographic intelligence company, to secure the platform.
In addition, Zhao mentioned his commitment to ensuring increased financial freedom and inclusion to improve society.
However, he also mentioned that the company would welcome any constructive guidance that comes its way. However, the exchange can also grow better.
The open letter appears to have arrived at the appropriate time, given the scrutiny on Binance. Many regulators from different countries, including the United States, Japan, United Kingdom, Canada, etc., have started to monitor their operations.
There were also some unpleasant consequences for users, as even banks are planning to suspend bank transfers to Binance's platform.
