France is vying to host the Binance headquarters thanks to a constructive dialogue with French regulators.
Binance Chairman Changpeng Zhao (CZ) said France is emerging as a “ natural choice » To set up a regional or even global headquarters.
« France would be a natural choice for a regional or even global headquarters«.
CZ spoke to Les Echos newspaper about the challenge of creating physical sites — a move prompted by global regulatory pressure on Binance, which began over the summer.
This reaction triggered a series of sweeping changes to the platform, including removing the Singapore dollar trading pairs and reducing the leverage of futures contracts to a maximum of x20 for example.
.binance Futures began restricting new users with a maximum leverage of 20x last Monday, July 19, 7 days ago. (We didn’t want to make this a thing.)
In the interest of consumer protection, we will be applying this to existing users gradually over the next few weeks.
stay #sappho. 🙏
– CZ 🔶 Binance (cz_binance) 26 July 2021
In both cases, Binance said the changes to how it operates were due to the need to comply with regulations.
Binance seeks to address regulatory concerns
While some observers viewed the campaign as an attack on cryptocurrency by targeting the world’s largest exchange, others said that changes to the way Binance operates are long overdue.
In particular, Reddit r/Binance_Lawsuit features stories of affected Binance customers describing their experiences as fraudulent to the point of getting support for legal action.
CZ has always emphasized that Binance is committed to putting its customers first. All the problems encountered were due to the platform growing too fast, not a deliberate attempt to scam.
« Binance has grown very fast and we didn’t always understand everything, but we are learning and getting better every day. »
In both cases, CZ said the company is responding by strengthening the compliance team, including by appointing key people with the necessary compliance expertise at the board level.
Why is France so attractive?
One of the main criticisms leveled at Binance has to do with its decentralized structure. This means that it does not have a physical seat to deal with complaints.
This is a problem he has been working on, Czechoslovakia said, adding that the company is considering setting up local, regional and global sites.
« However, this sector needs regulation. So we are in the process of establishing headquarters on several levels: local, regional and global. »
Commenting on how the French regulator, the Autorité des Marchés Financiers (AMF), welcomed Binance’s presence in the country, Czechoslovakia said they “ pro-businessObvious, but very demanding.
After applying for PSAN (digital asset service provider) approval, CZ added that more will be known in the next six to twelve months. And that the institution in France always depends on the outcome of the PSAN application.
