Founder Changpeng Zhao (CZ) shared his views on the company's extraordinary journey in a private letter to commemorate Binance's 6th anniversary.
CZ expressed his gratitude for the continued support of the Binance community, stressed the importance of collaboration with regulatory officials, and discussed emerging trends in the crypto industry.
CZ Recalls the Challenging Times of the Company
CZ recalled the early challenges the company faced, including the decision to use its own company funds to reimburse users affected by the 2017 China ban on crypto exchanges and ICOs.
According to CZ, this action, which prioritized user protection despite its significant financial implications, resonated with the global crypto community and led to an increase in user numbers and profitability.
CZ highlighted the importance of two “crypto winters” testing Binance's resilience. During these challenging times, the company focused on prudent financial management, which has proven vital in surviving both the market slump in 2019 and the more volatile downturn in 2022, according to the founder. Despite the ups and downs in the industry, Binance has remained true to its long-term vision.
Evaluating the regulatory environment, CZ acknowledged that regulators are showing increased interest in cryptocurrencies, particularly Binance due to its size and global influence. CZ expressed Binance's willingness to collaborate and take a leadership role in compliance efforts, noting the importance of working with regulators to shape the future of digital assets.
“Traditional Finance Giants Like New Trend Blackrock and DeFi”
Looking to the future, CZ identified important trends that will shape the future of the industry. The entry of traditional financial giants such as BlackRock, Citadel and Fidelity into the crypto space signals institutional adoption and a potential market size increase, according to the founder.
In addition, CZ said he believes decentralized finance (DeFi) will overtake centralized finance (CeFi) in the next six years, thanks to new wallet technologies and greater accessibility.
CZ welcomed the continued progress on regulatory clarity around the world, noting that countries that provide an open and conducive environment for the crypto industry will gain a significant advantage in the long run. While citing the last XRP decision as an example, he also emphasized the historical importance of the period.
*Not investment advice.
