Original Title: New Binance CEO Sees No Need for IPO as He Plots 100-Year Strategy for Crypto Exchange

Original Author: Cheyenne Ligon

Translation: Alvis, Mars Financial

Abstract

• Richard Teng, the new CEO of Binance, took over from founder Zhao Changpeng as CEO and stated in an interview that the cryptocurrency exchange is in good financial condition, so it is not considering going public.
• Teng said that Zhao Changpeng is currently serving a four-month sentence and is no longer involved in the company's operations, but his partner He Yi is still there.
• Teng pointed out the need for redemption. "We acknowledge our past mistakes. We have paid a heavy price for this."

Last year, Richard Teng took over Binance in an unfavorable environment because his predecessor, Zhao Changpeng, was forced to leave due to reaching a multi-billion-dollar settlement agreement with the US government.

In the nine months since taking over, Teng, who had previously served as a regulator in Singapore and the UAE, has worked to transform Binance from a founder-led organization to one led by the board of directors. Although the company has remained silent on the location of its headquarters and claimed to be an "international company," Teng is looking for a place to settle in for the long term.

Since the collapse of Binance's competitor FTX at the end of 2022, cryptocurrency prices have risen sharply, traditional financial institutions have increased their support for the field, and US regulatory agencies may adopt a more lenient attitude towards cryptocurrencies, sparking speculation about an upcoming initial public offering (IPO).

However, in an interview in New York on Wednesday, Teng stated that the company is not considering going public. He said, "Our financial condition is very strong, and there is really no need to consider financing or an IPO at the moment. Since Binance started operating in its fifth month, the company has been profitable and has been cautious in its spending, so [IPO] is not a topic for discussion."

Teng stated that the efforts made by the exchange to increase transparency, including a 36% increase in compliance spending last year, and the ongoing search for a settled location, are aimed at building better relationships with global regulatory agencies and guiding the company towards the future. He also emphasized, "We hope to build a sustainable enterprise that will not only be successful in the coming years, but will also continue to thrive in the next 50 to 100 years."

Teng stated that the efforts made by the exchange to increase transparency, including a 36% increase in compliance spending last year compared to 2022, and the ongoing search for a settled location, are all aimed at building better relationships with global regulatory agencies and guiding the company towards a more future-oriented direction.

Teng said, "This is actually to build a sustainable enterprise that will not only be successful in the coming years, but will also continue to thrive in the next 50 to 100 years." "This is certainly our wish."

Involvement of Zhao Changpeng

Teng was appointed CEO by Zhao Changpeng, who resigned as CEO of Binance as part of the company's $4.3 billion settlement with US regulatory agencies for violating sanctions and anti-money laundering (AML) laws. Zhao Changpeng also admitted to failing to maintain proper anti-money laundering and know-your-customer (KYC) systems and was sentenced to four months in federal prison in June.

However, Zhao Changpeng, who was once the public face of Binance, is no longer involved in the company's daily operations or decision-making. (He began serving a four-month sentence in June.)

Teng said, "As part of the US resolution, Zhao Changpeng cannot be involved in the company's operations."

However, Teng said that Binance co-founder He Yi is still a "key part" of the cryptocurrency exchange management team.

"He Yi is involved in all aspects of the business," Teng said, adding that she is responsible for Binance's human resources department and jokingly refers to herself as the company's chief customer service officer. "She is a very talented and independent person."

Global Ambitions

When asked if Binance has considered raising funds to dilute Zhao Changpeng's ownership of the company, Teng refused and stated that these issues should be decided by the exchange's shareholders and board of directors.

But Teng stated that the challenge of Zhao Changpeng's felony status for regulation is not as great as external observers imagine.

"We do work closely with global regulatory agencies. In many parts of the world, this is not a problem. There may be challenges in some places, but we have already resolved some of them," Teng said, referring to the licenses the company recently obtained and settlements reached in countries such as Dubai, India, Thailand, and Brazil.

Teng emphasized that Binance must reach a consensus with global regulatory agencies, rectify past mistakes, and advance its business in a more transparent and regulated manner.

"We acknowledge our past mistakes. We have paid a heavy price for this," Teng said. "Looking ahead, we are studying how to cooperate with global regulatory agencies to continue building a sustainable and robust platform."

No Interest in the United States

One country that Binance is currently not interested in is the United States, which imposed a huge fine on the exchange at the end of last year.

"Currently, we are really focused on markets outside the United States," Teng said.

While many in the cryptocurrency industry are eagerly awaiting the results of the upcoming US presidential election, hoping that Donald Trump's victory will pave the way for a clearer and more friendly cryptocurrency regulatory system, Teng stated that the election results are not significant for Binance in any case.

"Our business is outside the United States," Teng said. "So we are excited to see what happens in the United States, but it has no impact on our business."

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。