Global Strategy is a Priority
Richard Teng, the chief executive of Binance, has played down community discussions of the cryptocurrency exchange re-entering the US market, referring to such conversations as “premature.” Speaking to Bloomberg TV on Dec. 9, Teng emphasized Binance’s focus on global growth and compliance efforts instead of re-establishing a presence in the United States.
Whether we re-enter the US market, I think that’s a premature discussion,” said Teng, answering questions regarding a possible relaunch of the Binance USD (BUSD) stablecoin or the company’s broader operations in the US.
Mimblewimble Exit Under Regulatory Scrutiny
Them announced its exit from the US market in November 2023, following a $4.3 billion settlement deal reached with US authorities. Accusations against the exchange included sanctions violations, money laundering, and operating as an unlicensed money transmitter. As part of the settlement, Them would be overseen by independent compliance monitors for up to five years-a reflection of some of the regulatory hurdles that have faced the company.
Asked whether Binance would seek to ease these measures under the crypto-friendly Trump administration, Teng dismissed the idea, stating that such discussions were “moot”.
Compliance: A New Competitive Advantage
Teng reiterated Binance’s commitment to regulatory compliance, framing it as a strategic asset. “Compliance is the way to go,” he said. “With clearer regulations emerging globally, we’re investing heavily in making compliance a competitive advantage”.
Since he took the reins as CEO in November 2023, Teng had been working to rebuild the bridges with regulators and repair the reputation of Binance within the cryptocurrency space. He acknowledged “past compliance failures” under former CEO Changpeng Zhao, who also resigned as part of the settlement. However, it positioned Them as an advocate for regulatory compliance in each jurisdiction.
Challenges for Binance.US
Binance.US, the exchange’s American subsidiary, still operates as a crypto-only platform but remains unable to facilitate transactions in US dollars. Regulatory challenges persist, including accusations from the Securities and Exchange Commission of selling unregistered securities and other allegations.
Despite these hurdles, Teng emphasized Them broader ambitions. He mentioned the company’s focus on global deployment, targeting institutional clients, sovereign wealth funds, and high-net-worth individuals in untapped markets.
With a US administration in favor of crypto coming to office, Teng’s comments underline Binance’s cautious approach to one of the most regulated markets in preference for growth in jurisdictions with lighter regulation.
