Binance Thrives Under Pro-Crypto White House, CEO Reports

ByMoneyReign

Binance CEO Richard Teng has described the Trump administration as a “fantastic reset” for the cryptocurrency industry, highlighting a dramatic shift in the political landscape for digital assets. The leader of the world’s largest cryptocurrency exchange told CNBC on Tuesday that his company has benefited significantly from the change in Washington’s approach to crypto regulation.

“It’s an extremely different environment that we’re operating in,” Teng said during the interview. “We’ve benefited from this shift.” His comments underscore the remarkable transformation in Binance’s political standing, which has evolved from regulatory pariah to potential power broker in just 16 months.

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From Settlement to Expansion

Teng’s observations come as Binance continues its rehabilitation following a record $4.3 billion settlement with U.S. regulators in late 2023. That agreement forced the departure of billionaire founder Changpeng “CZ” Zhao and installed Teng as the company’s CEO in November 2023.

Despite these challenges, Binance has achieved remarkable growth under Teng’s leadership. The exchange has expanded from 170 million to 265 million users within just one year, according to Mitrade. The company now holds licenses in 21 jurisdictions worldwide.

“We went from four years of Operation Choke Point 2.0 to now — you have a very pro-crypto, pro-AI president,” Teng explained, referring to what industry insiders describe as a crackdown by traditional banks on digital asset firms during the previous administration. While Binance.com doesn’t operate directly in the U.S., Teng emphasized that the company still benefits from “all these pro-crypto policies.”

Potential Trump Connections

Teng’s comments come amid reports that Binance may be strengthening its ties to the Trump family. Earlier this month, The Wall Street Journal reported that discussions were underway regarding a potential Trump family stake in the company.

Additionally, Bloomberg reported that World Liberty Financial, a Trump-linked crypto bank still in development, was in talks with Binance to launch a dollar-pegged stablecoin.

When questioned about these reports, Teng was careful with his response. “I believe both World Liberty Financial as well as CZ himself have tweeted and denied the reports,” he said. Regarding rumors about a Trump stake in Binance.US, Teng emphasized the separation between Binance’s U.S. and global operations: “.US and .com are quite different animals, right? They have different sets of shareholders, different boards of directors, and different CEOs running the show.”

Compliance Transformation

Binance has undertaken significant efforts to transform its reputation following past regulatory troubles. Teng acknowledged the company’s previous missteps, saying, “We under-invested in compliance in those very early days. But what’s important as a responsible institution is to acknowledge those early mistakes, make amends for it, and invest greatly into compliance, which we are doing now.”

The CEO noted that Binance now employs more than 1,300 compliance workers, representing approximately one-fourth of its total workforce. “The direction of travel is very clear. It’s one of compliance,” Teng stated.

This transformation includes a restructured governance model. “Now I report to the board of directors,” Teng explained. “We have a board of seven members, including three independent directors and an independent chairman.” This marks a significant shift from Binance’s previous status as a founder-led startup.

Global Challenges Remain

Despite the improving political climate in the U.S., Binance continues to face regulatory challenges in other regions. In Nigeria, two top Binance executives were detained on charges including tax evasion and failure to file returns. Tigran Gambaryan, a U.S. citizen and former IRS investigator, was released after months in harsh prison conditions, while Nadeem Anjarwalla, a British-Kenyan dual national, escaped from custody in March 2024.

Teng maintained that the treatment of these executives “is not warranted” and insisted that Binance has attempted to cooperate with Nigerian authorities. “We have always tried to liaise and work cooperatively with governments around the world,” he said.

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New Institutional Backing

Alongside improved regulatory relations, Binance recently secured its first major institutional investment. The exchange received $2 billion in stablecoins from MGX, an AI and advanced technology fund based in the United Arab Emirates with connections to BlackRock and Microsoft.

This partnership represents what Teng describes as a bridge between cryptocurrency and artificial intelligence, with Binance “utilizing AI on an extensive basis” for security, customer support, and compliance monitoring.

As Binance continues its transformation under Teng’s leadership, the CEO remains focused on several priorities. “We want to make sure we run a very robust, operational, best-in-class platform,” he said, listing security, compliance, product innovation, and strategic acquisitions as key areas of focus.

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