Reply To: Should Central Banks Make Binance Their Friend or Foe?

[Andrew Spencer]

I think it’s a good question.

This comes as Binance is currently being investigated for potential securities violations in the US, alongside further warnings in South Africa, Thailand and the Cayman Islands that it was not authorised to operate locally.

When Binance started 5 years ago, it appears that there was very little regularly framework in place to affect a decentralised business and little interest in compliance from Binance. However, as the regulatory scrutiny increased we have also seen Binance setting up local offices and local compliance teams to satisfy regulators.

I think that regulators are still catching up with these emerging technologies and the fines will be significantly larger than $3 million for perceived non-compliance with local regulations in the near future.

It will be interesting to see the result of their US investigation!