“Compliance is a Journey” in Crypto – Bitcoin News

Changpeng Zhao, CEO of Binance, said that he assesses the recent regulatory move that Binance is facing. In a blog post, Zhao explains that Binance strives to comply with local regulations. However, he also said that cryptocurrency is a nascent industry and there is a lot of uncertainty in this area. Binance has received a number of warnings from governments around the world for failing to comply with certain regulations.

Changpeng Zhao states that compliance is a “journey”

Binance CEO Changpeng Zhao finally issued a statement on the exchange’s recent regulatory crackdowns. In a letter published yesterday, Zhao describes how Binance is gradually adapting to regulations around the world. However, he realizes that Binance “did not always get everything exactly right”. Zhao further emphasized:

Compliance is a journey – especially in new sectors like crypto. There is still great uncertainty in the industry. We also recognize that with growth comes more complexity.

Binance is facing opposition from local governments for failing to comply with local regulations. This is known as localization and is one of the most complex issues international businesses face because of the cost involved. Zhao stated:

We are committed to complying with the relevant local regulations wherever we operate. We have seen regulators take a more active interest in the industry as a whole as the industry becomes mainstream.

At the same time, Zhao called for clearer regulations. In his view, more regulations are a positive development for the industry, but they need to be more easily followed. This gives more people confidence in the industry and brings more capital into the market.

Binance’s compliance plan

Zhao said Binance is taking concrete steps to increase compliance. This includes the introduction of Traveler, a system for complying with the travel rules proposed by the Financial Action Task Force. The system created by Ciphertrace, a blockchain analytics company, automates this task. The letter also states that the Binance Global Compliance team has grown 500% in just one year and has partnered with institutions such as the United Nations Office on Drugs and Crime (UNODC) and Interpol.

This is Binance’s first clear response to recent warnings against the exchange. Regulators from Japan, the United Kingdom, the Cayman Islands and Thailand have called on the exchange to offer trading services without registration. And more recently, banks like Barclays have started blocking payments and transfers to Binance to keep customers safe.

What do you think of Changpeng Zhao’s response to recent actions against Binance? Let us know in the comments section below.

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