November 27, 2022

Binance CEO Urges Governments to Adopt Crypto Instead of Fighting It

Binance CEO

Binance CEO

Binance CEO Changpeng Zhao urged governments around the world to adopt and regulate the crypto industry instead of fighting it, Bitcoin News reported.

While speaking about cryptocurrency regulation after the bankruptcy of FTX during a Binance event in Greece, Zhao said: “I think most governments now understand that adoption will happen regardless. It’s better to regulate the industry instead of trying to fight against it.”

Zhao predicted that the small countries would be the first states to add cryptocurrencies such as Bitcoin to their reserves then the remaining country will follow the trend.

The CEO of Binance noted that the crypto scene witnessed many events over the past two months, thinking that the industry is now healthier. He asserted the crypto businesses are not bad just because of the FTX collapse.

In a move to restore confidence in the crypto industry, the world’s largest cryptocurrency exchange announced allocating $1 billion to set up a recovery fund with an intent to increase that amount to $2 billion soon if the need arises.

Binance has already received a total of about $50 million in an initial commitment from seven investment firms, including Jump Crypto, Polygon Ventures, Aptos Labs, Animoca Brands, GSR, Kronos, and Brooker Group.

Binance’s recent move aims to support the most promising and highest quality firms and projects which are based on the latest technologies and entrepreneurs, who are facing remarkable, short-term, and financial difficulties without committing faults on their own.

Earlier this month, Zhao compared the FTX collapse with the financial crisis of 2008, warning of an avalanche effect. He pointed out that the consumers’ confidence has been shaken, a matter which needs a few years to be stabilized.

FTX, once valued at $32 billion, collapsed in a matter of days after the CEO of Binance said his exchange would liquidate its FTT tokens, a matter that led to the plunge of FTT value.

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