The founder of the world's biggest cryptocurrency trading platform, under fire by regulators worldwide, including the U.K. and the U.S., struck a conciliatory tone at the Bloomberg New Economy Forum in Singapore on Friday.
«I'm not a complete libertarian; I'm not an anarchist […] so I think if we want to live, we probably need some rules to work well, and those rules are regulations,» Changpeng «CZ» Zhao, founder & CEO, Binance, said in a conversation with Erik Schatzker, Bloomberg TV's editor-at-large, at the forum.
«I think crypto adoption around the world is 5 percent. Those are the early adopters. The rest of the 95 percent would feel safer using a cryptocurrency exchange that is licensed, has a local office, etc.,» he added, noting that the platform is currently setting up its headquarters, though he did not disclose its location.
CZ tried to ally fears among the trad-fi crowd in the room that crypto would soon replace the financial sector, saying that the narrative is misplaced. «It's a bit too early,» he said. «It's going to take a long time […] it will take decades,» he added, noting that crypto currently comprises less than 1 percent of the financial system and said it's unlikely that crypto will replace the U.S. dollar as the world's reserve currency.
Lower Fees?
The platform recently hit $170 billion in daily transacted value, compared to $10 billion-$20 billion two years ago, and about $300 million four years ago, CZ said. And while the platform's fees are already low by industry standards, CZ said Binance is considering lowering fees even further.
«I do not believe in maximizing profits and I do not believe in maximising shareholder value, at least in the short term. I want to grow the industry,» he said.
And when posed a question about his wealth, given Binance's billion-dollar profits annually, he said, «I don’t really care about wealth, money and rankings […] I'm happy to donate 99 percent of my wealth away before I leave this world. Anytime people pay too much attention to that, they lose focus.»
Crypto Manifesto
Earlier this week, Binance published a manifesto for crypto, which include privacy, safe custody, safe access, and more, among its «fundamental rights,» as part of a broader push to promote wide adoption by strengthening user protection.
In September, the platform stopped providing services for users in Singapore amid increased scrutiny by regulators in the city-state. Its local entity, Binance.sg, which has a smaller offering and significantly less liquidity, is operating under an exemption while its license application is being reviewed by the Monetary Authority of Singapore.
