Is Binance Back on Track?
The massive digital asset exchange Binance, which two months ago paid a multibillion-dollar US fine for unlawful activity and fired CEO Changpeng "CZ" Zhao, is seeing a surge in interest from cryptocurrency traders again.
According to data from DefiLlama, Binance has had net inflows of $4.6 billion since its deal with US authorities on November 21, when it entered into a guilty plea to charges involving money laundering and sanctions evasion.
That was significantly more than some of its main competitors, Bybit and OKX, raked in.
Richard Teng, who assumed the CEO role following the settlement, is benefiting greatly from the inflows, which come after a terrible year for Binance that saw market share loss and withdrawals.
After nine months of declines, Binance's share of global spot cryptocurrency trading stabilised in December. Its exchange token, Binance Coin (BNB), has increased 30% since November 21 and has outperformed other markets.
Binance has profited greatly from the Bitcoin rebound that also helped other platforms.
This month, the Bitcoin market gained much-needed legitimacy when the first exchange-traded funds (ETFs) investing directly in the largest cryptocurrency were approved.
Traders transferred money to Binance even as Teng faced several difficulties. He has to form a worldwide headquarters, choose a board, and designate a third-party overseer for three years.
Important cryptocurrency hotspots like Singapore, Dubai, and Hong Kong do not provide Binance full licences. Additionally, it continues to fight an SEC complaint.