Amidst regulatory compliance challenges here and there, the CEO of Binance has come out to say that “compliance is a journey” particularly in the growing cryptocurrency industry.
Changpeng Zhao, Binance’s CEO and founder, has emphasized the exchange’s commitment to cooperating with regulators amid growing concerns about the exchange’s global regulatory challenges.
Zhao wrote an open letter on Tuesday emphasizing how much the cryptocurrency sector has changed in the four years since Binance launched, despite the fact that there is still a lot of regulatory ambiguity around crypto.
In reaction to the increased regulatory “hyper-focus,” Binance’s CEO outlined some of the company’s core values, including its readiness to collaborate with financial regulators in order to be a “positive contributor.”
“More regulations are, in fact, positive signals that a business is maturing,” Zhao added, stressing that the crypto industry still lacks clear regulatory frameworks in numerous nations.
Clear laws, the CEO continued, offer a basis for adoption as more people feel safe participating in crypto, adding:
“Compliance is a journey — especially in new sectors like crypto. The industry still has a lot of uncertainty. We also recognize that with the growth comes more complexity and more responsibility.”
Zhao reaffirmed Binance’s commitment to working with regulators and the company’s approach to dealing with the platform’s growing popularity, which includes active hiring and the implementation of more systems and processes to protect users.
Binance’s worldwide compliance staff and advisory board have increased by 500% since 2020, according to the CEO, with additions from prominent global authorities like the Financial Action Task Force.
Binance has been actively adopting Anti-Money Laundering regulations on its platform, Zhao said and has partnered with crypto intelligence firm CipherTrace to ensure even more protection.
“We are learning and improving every day,” Zhao wrote, stating that Binance’s ultimate goal is to increase freedom and inclusion in order to create a “better human society.”
“We firmly believe that our industry will benefit society through the creation of inclusive financial opportunities,” the CEO said. Zhao stated that the organization would appreciate “more constructive feedback” in order to assist the exchange improves.
Binance is now under investigation by regulators from all over the world, including the UK, Japan, Canada, the United States, Thailand, and the Cayman Islands.
Growing concerns over Binance’s regulatory status have already had some ramifications for customers, including the banning of bank transactions to the site and banks such as Barclays refusing to pay Binance.