Binance is the world’s largest cryptocurrency exchange but has struggled with regulation around the world in recent years. The United States put a hold on Binance’s involvement with its citizens which led to the creation of a new platform designated just for US citizens.
Similarly, earlier this year England banned Binance from operating inside of its borders due to a lack of customer background checks. Binance has fought hard to get back to full operation inside the US, they have spent a lot of time dealing with regulatory authorities and gaining approvals.
The platform recently hired Tigran Gambaryan, an ex-US agent who worked in investigations against Silk Road, Mt Gox, and former IRS Special Agent Matthew Price. These additions to the team were made in an effort to navigate US regulation.
Binance US is now the third-largest exchange in America, behind Coinbase and Kraken, averaging around $1.2bn in trading volume per day. Binance CEO, Changpeng “CZ” Zhao, says Binance will play a much bigger role in the US. He states he will create a physical office that will deal with regulatory figures and obtain an IPO in the United States.
CZ expects the IPO to raise hundreds of millions of dollars in the coming months. These funds will be used to continue to grow Binance’s presence into one of the largest finance companies. Many speculators believe this push into America comes from the recent ban of cryptocurrencies in China, and several exchanges including Huobi have reported a huge loss in users after China shut its doors to crypto trading. These exchanges have been looking to spread influence to newer audiences around the world.
Other theories for this push for compliance surround Binance’s blockchain platform, Binance Smart Chain (BSC), which has grown dramatically in projects and users over the last year.
This centralized blockchain has lacked US participation due to its unstable relationship with US regulators. This IPO could bring a whole new host of adoption to the chain as many companies may opt for BSC over Ethereum because of lower gas fees and quicker transaction speeds.
Stay tuned to the news as Binance will soon release the location of their new headquarters!