On Wednesday, Binance’s boss stated that the cryptocurrency exchange had not achieved its goals and still has room for growth after a crackdown by regulators from around the globe.
Changpeng Zhao (CEO of Binance), stated in a blog that “Compliance can be a journey – especially in new sectors such as crypto.”
He said, “The industry still faces a lot of uncertainty.” “We recognize that growth brings more complexity and more responsibility.”
The U.K.’s Financial Conduct Authority banned Binance last month from engaging in regulated activities within the country. In May, Binance’s U.K. division withdrew its registration application with the regulator due to non-compliance with anti-money laundering requirements.
Binance, the largest crypto exchange in terms of trading volume, was required to post a notice on its website and mobile app advising U.K. users it is not allowed to engage in any regulated activity.
Canada, Japan, and Thailand have all issued warnings to the company.
Japan’s Financial Services Agency claimed that the crypto exchange was operating without permission. Canada’s Ontario Securities Commission, however, accused the exchange of not complying with local regulations.
Last week, the Securities and Exchange Commission of Thailand filed a criminal case against Binance alleging that the company was operating in Thailand without authorization.
Zhao stated that Binance, a startup of four years old, still has lots to learn. “Binance has grown quickly, and while we may not always have everything right, we are still learning and improving each day.”
He said, “We hope to clarify our commitment to partner with regulators and that we are actively hiring more talent, putting into place more systems, processes, and protecting our users.”
Zhao stated that Binance was taking several steps to improve its regulatory compliance. These include increasing hiring, partnering with anti-crime organizations, and localizing operations on markets like the U.S.
In recent months, the crypto market has been under increased regulatory scrutiny. China has taken steps to curtail digital currency mining due to concerns about its environmental impact.
The year began with cryptocurrencies having a strong start, with Bitcoin rising to an all-time high at almost $65,000 in April. They have since dropped sharply with the total crypto market capitalization dropping to more than $1 trillion over the past two months.