CZ called FUD a chance to showcase the virtues of Binance

CZ_wealth-min
CZ_wealth-min

Binance CEO Changpeng Zhao (CZ) believes that despite numerous scrutiny by regulators, his cryptocurrency exchange has proven to be reliable, maintaining a large user base and market share. He stated this during AMA-sessions in X.

According to him, attempts to draw parallels between Binance and the FTX case and others aimed at FUD news gives the platform an opportunity to showcase its worth.

“I think we are a much stronger company today than we were two years ago,” CZ said, adding that Binance is “far ahead of the game in terms of compliance.”

In March CFTC accused the trading platform of violating derivatives trading rules and operating without a license. In June SEC filed a 13-count complaint against Binance, including the sale of unregistered securities and unlicensed operations in the US. The company also faces legal scrutiny in Canada, Australia and France on suspicion of regulatory violations.

A week after the SEC lawsuit, Binance.US’s market share dropped by 78%, while total trading volumes on Binance itself fell by 52%, according to CoinGecko.

However, CZ still welcomes wider regulation of the crypto market. This, in his opinion, may weaken the bearish mood.

He cited recent court rulings in favor of Ripple Labs and asset manager Grayscale as positive developments for the industry.

At the same time, the head of Binance stressed that he considers regulatory litigation “a little redundant” and hopes that further cooperation of crypto companies with regulators will bring positive developments and clarity in legislative norms.

Previously, CZ allowed DeFi to dominate CeFi in the next bull market.

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