Binance experienced a significant uptick in institutional and corporate investors joining its platform this year.
In an interview with CNBC’s Lin Lin during the Token2049 conference in Singapore, CEO Richard Teng disclosed a 40% increase in such investors throughout 2024.
“Allocation into crypto by institutions is just at the tip of the iceberg,” Teng stated, indicating that the trend is only beginning. He explained that many institutional investors are still conducting due diligence before fully committing to the crypto space.
Teng, who took over as CEO in November 2023, said the surge in onboarding reflects a growing confidence among big money players towards cryptocurrencies, including Bitcoin and other digital assets.
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Binance Changes Corporate Structure
Despite this positive trend, Teng refrained from naming specific firms or providing details on the size of these new institutional and corporate clients.
The increase in interest comes amid regulatory challenges faced by Binance.
Binance recently faced a US investigation and a $4.3 billion settlement, which led to the resignation of its co-founder and former CEO, Changpeng Zhao.
Although Zhao stepped down as part of the settlement agreement, he continues to hold a significant stake in the company.
Day 2️⃣ of #Token2049! Our CEO @_RichardTeng spoke alongside other industry experts on the main stage.
Richard shared insights on the role of policies and why smart regulations for crypto will be beneficial for the economy.
Here’s a peek of how it went! 👇 pic.twitter.com/XPzGW8JY05
— Binance (@binance) September 19, 2024
Teng said that Binance underwent a substantial transformation in its corporate governance. The company has shifted from being a founder-led organization to one governed by a board of directors, now comprising seven members.
The move is intended to align Binance’s structure more closely with what regulators expect. It will also provide a more stable leadership framework for the exchange as it navigates the complex global regulatory landscape.
Teng joined Binance in 2021 as CEO of its Singapore operations. His background includes serving as CEO of the Financial Services Regulatory Authority at Abu Dhabi Global Market and as Chief Regulatory Officer of the Singapore Exchange.
In January 2024, the US made a landmark decision to approve the first exchange-traded funds (ETFs) for spot Bitcoin prices, followed by similar approvals for Ether in July. Teng said such regulatory clarity will provide the certainty needed for broader adoption among mainstream investors.
He also mentioned that Bitcoin’s record high earlier this year, surpassing $70,000 in March, was driven by institutional interest.
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Binance-Backed Tokocrypto Gains License in Indonesia
Last week, Indonesian crypto exchange Tokocrypto, a subsidiary of Binance, announced that it has secured a full license from the country’s Commodity Futures Trading Regulatory Agency (Bappebti).
The license grants Tokocrypto authorization to operate as a licensed crypto asset trading platform in compliance with regulations.
Earlier this year, Binance launched Binance Thailand, a joint venture in partnership with Gulf Innova, a subsidiary of Gulf Energy Development. Binance Thailand, also known as Binance TH, offers a platform for trading digital assets, with pairs denominated in Thai baht.
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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