Binance’s Richard Teng Refutes FTX Comparisons and Embraces Regulatory Scrutiny

Richard Teng, the head of Binance’s regional markets, has emphasized the financial stability of the global cryptocurrency exchange, dismissing any comparisons to FTX, which recently faced bankruptcy and regulatory challenges. Teng spoke exclusively with editor Andrew Fenton in Singapore, addressing various challenges confronting Binance’s regional branches and addressing reports speculating about his potential succession of Binance founder Changpeng ‘CZ’ Zhao.

Teng acknowledged that Binance has encountered challenges in recent years but emphasized the company’s ability to address these issues on a case-by-case basis while maintaining financial strength and the ability to process customer withdrawals.

Regarding a recent social media post by ‘CZ’ highlighting negative developments in the cryptocurrency industry, Teng stressed that comparing Binance to FTX was unwarranted. He emphasized that Binance’s assets are fully backed, stating, “Our assets are backed one-to-one.”

Teng also addressed recent reports about high-level executive departures from Binance and the exchange’s connections with Russian banks. He noted that Binance’s rapid growth over six years has brought it under intense scrutiny from regulators and the media, which the company welcomes.

Regarding Binance’s plans for its Russian market franchise, Teng clarified that no decision has been made yet, but the company remains committed to adhering to international norms and standards, particularly regarding sanctioned entities and individuals.

Teng highlighted the importance of maturing regulatory frameworks in various jurisdictions, welcoming the European Union’s Markets in Crypto-Assets (MiCA) regulation as a potential benefit to the entire industry. He noted that harmonized standards across different regions would make it easier for global platforms like Binance to navigate varying rules and regulations. Teng considered MiCA a “step in the right direction” as it offers consistent standards for the 23 EU member states, potentially leading to greater convergence in global regulatory guidelines for the cryptocurrency industry.

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