Rumors in the market are that Binance is now looking for fresh investment and government funds. The recent appointment of the new CEO of Binance Singapore furthers the sentiment.
The troubled cryptocurrency exchange Binance is all set to raise fresh funds from the market. However, there’s no official confirmation yet, but sources familiar with the matter confirmed Binance is seeking fresh investment. In an exclusive revelation, Chinese journalist Colin Wu said:
“Multiple sources told that Binance is considering obtaining investment and protection from government funds at a valuation of $200 billion. Singapore is one of the most likely options”.
Binance is 4x in size that of public listed exchange Coinbase. As of now, Coinbase Global‘s (NASDAQ: COIN) valuations stand at $54.2 billion. Thus, Binance’s valuations come anywhere closer to $200 billion.
The sources also confirmed that founder CZ and co-founder HeYi share Binance equity in a 92:8 ratio. Previously, Binance had rejected investments coming from VC Giant Sequoia Capital. Founder Changpeng Zhao also confirmed that Binance won’t need external funds.
He noted that he will only be working with VC companies that will help the exchange cooperate with regulators and obtain licenses. However, it looks like Binance is selecting destinations like Singapore with crypto-friendly laws.
Vertex Ventures, a subsidiary of Singapore’s sovereign fund Temasek, has already invested in Binance Singapore.
Binance Singapore Appoints Richard as CEO
Earlier today, August 23, Binance Singapore announced the appointment of Richard Teng as chief executive officer (CEO). Mr. Richard Teng has served as the former executive at Singapore Exchange Ltd.
Besides, Teng has also spent 13 years working with Singapore’s top financial regulator – the Monetary Authority of Singapore (MAS). This clearly shows that Binance is absolutely keen on solving all regulatory issues.
The crypto exchange received solid backlash from regulators worldwide. Binance is facing accusations of not having the right licenses or rules in place for investor protection. However, Teng’s appointment at the hem of affairs could bring some relief for Binance. In a statement, Richard Teng said:
“We are witnessing rapid mainstream adoption of the blockchain and crypto technology, leading to the need for greater understanding and appreciation amongst individuals, institutions and governments. We seek to work closely with industry leaders and policymakers to enhance understanding of this fast growing industry and support its sustainable growth.”
Binance Asia Services has received a grace period allowing the exchange to operate in Singapore as the MAS reviews its applications in the meanwhile. Binance Singapore currently offers trading pairs for Bitcoin (BTC), Ether (ETH) and Binance Coin (BNB), to its customers. With the appointment of Richard, Binance CEO CZ said:
“We are delighted to have Richard leading the Binance Singapore team in securing more strategic partnerships, fostering innovation and furthering the local cryptocurrency ecosystem in Singapore”.
While the appointment of the new CEO at Binance Singapore is welcoming news. However, BinanceUS recently saw the departure of Brian Brooks, just 10 months after his appointment.
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