Binance’s New Direction Under CEO Richard Teng

During a recent CNBC interview, Binance CEO Richard Teng described President Trump’s upcoming second term as a “fantastic reset” for the crypto industry in the U.S. He noted a significant shift in the political environment, which he believes benefits Binance and the crypto sector overall.

Political Gains for Binance Under Trump

Richard highlighted that Binance’s political situation has improved significantly since Trump’s election. After paying a hefty $4.3 billion fine to settle federal charges, the exchange is now being taken more seriously in Washington compared to the previous administration.

There were two recent reports suggesting that Binance was in talks to give the Trump family a financial stake and to partner with World Liberty Financial, a bank connected to Trump, to create a new stablecoin. Richard did not confirm these reports, instead indicating that there were mixed messages surrounding them.

Richard emphasized the distinction between Binance’s international and U.S. operations, stating they are different entities with separate management and shareholders. He praised Trump’s approach to crypto, contrasting it with the stricter regulations during Biden’s tenure, referring to that time as “Operation Choke Point 2.0.”

User Growth and Global Expansion

Under Richard’s leadership, Binance has seen a remarkable increase in users, expanding from 170 million to 265 million in just one year. Richard also mentioned collaborations with several countries, including Japan, Australia, and the UAE, showcasing Binance’s efforts in regulatory partnerships. Binance now holds licenses in 21 jurisdictions and is working with sovereign wealth funds.

Despite ongoing legal issues, such as a civil case with the SEC, Richard is optimistic about resolving past mistakes and highlighted their significant investment in compliance, which now employs over one-fourth of their workforce.

Challenges in Nigeria

Binance faced legal troubles in Nigeria, resulting in the arrest of two executives over tax evasion charges. Richard defended their commitment to cooperating with authorities in various countries, including Nigeria, despite the ongoing challenges.

Transitioning Leadership Structure

Since becoming CEO, Richard indicated a shift in Binance’s structure, moving away from founder-led operations to a board of directors model. Binance claims to maintain over 40% of the global cryptocurrency market share, explaining its resilience amid regulatory scrutiny.

Richard dismissed concerns about competition from Coinbase and the potential impact of ETFs on the crypto sector, emphasizing that many users transition to direct crypto trading after initially using ETFs.

Recently, Binance secured a $2 billion institutional investment from MGX, an AI and advanced technology fund. Richard noted that this partnership is instrumental in bridging crypto and AI, as Binance increasingly utilizes AI for various operational aspects.

In conclusion, Richard outlined his priorities as CEO: focusing on security, compliance, product innovation, and partnerships to ensure Binance remains a robust leader in the global market.