Binance CEO urges businessmen to move to more favorable countries for cryptocurrencies

Changpeng Zhao referred to Dubai, Bahrain, and France as such states

14.02.2023 - 16:50

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2 min

What’s new? Binance CEO Changpeng Zhao held an AMA (Ask Me Anything) session on Twitter in which he said that crypto entrepreneurs should consider moving to countries with favorable regulation. He clarified that such a scenario would suit those who are serious about their project. Zhao considers the UAE (Dubai in particular), Bahrain, and France to be positive countries for digital assets.

We're live!Tune-in to our Twitter Space AMA with @cz_binance below 👇https://t.co/bXIztCKdry — Binance (@binance) February 14, 2023

What else did the head of Binance say? The conversation with Zhao took place amid tightening regulation of the industry by the US authorities. On February 13, the New York State Department of Financial Services (NYDFS) banned fintech company Paxos from issuing new Binance USD (BUSD) stablecoins. In addition, the Securities and Exchange Commission (SEC) said it was ready to sue Paxos because it considers BUSD an unregistered security.

The head of Binance urged colleagues to actively engage with regulators because of the uncertainty in the crypto industry. Zhao noted the willingness of some regulators to dialogue, stressing that not all entrepreneurs have such access, especially when it comes to startups without a reputation. In addition, the businessman said that newcomers to the industry definitely need legal advice to not “step on in any regulatory red lines.”

In addition, Zhao said the crypto ecosystem needs to expand the supply of stablecoins, which would be pegged not only to the US dollar but also to other fiat currencies such as the Singapore dollar or the Japanese yen. He added, without naming names, that the issuer of the yen-pegged stablecoins already contacted Binance to collaborate.

Zhao earlier commented on the decision to ban new BUSD issuance, saying that the asset is wholly owned and managed by Paxos and the company will continue to service all operations with it. In turn, Binance will also support BUSD for the foreseeable future.

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