Binance.US, the US branch of the trading platform, intends to raise additional capital in its upcoming funding round, according to Changpeng “CZ” Zhao, CEO of the world’s largest cryptocurrency exchange.
According to Binance CEO, even despite regulatory concerns, a number of top-level investors are showing interest in Binance’s operations:
“There is significant interest from top-level investors, and they expect they will close a round shortly.”
Zhao also said that his company will continue to work to legitimise its investor base, and that Binance.US will even introduce a “cap table with reputable investors and an independent board with proper governance”.
This statement is also notable because according to the position of the local management of Binance.US, they are in no way connected and independent of the main division of Binance, which raises some questions about the ownership structure within the company.
On the other hand, it is likely that the policy is a consequence of the world’s largest digital asset marketplace’s desire to avoid unnecessary regulatory attention to Binance.US, particularly because Changpen Zhao himself has assured that they intend to make the US division a public entity through a listing on Nasdaq.
According to Beincrypto, the funding round mentioned above will take place shortly after the resignation of recently hired Binance.US CEO Brian Brooks, who decided to leave his position due to differences in vision for the company’s growth strategy. However, there is an opinion that there is another reason for this decision. Some believe that the root of the problem is an internal conflict that arose between Brooks and Zhao.
However, pressure from financial regulators remains a major problem for the exchange. In order to remove the conflict, Binance is devoting significant resources to recruiting staff with regulatory experience.
Zhao recently admitted that he is spending almost all his time on compliance, and is “not really involved in the day-to-day operations of the exchange.”
Thus, Binance.US intends to raise additional funding from top-level investors. Additionally, in an effort to achieve compliance, the platform continues recruiting staff with regulatory experience.
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