Binance wants to establish a dialogue with regulators, and Brian Brooks believes that not all crypto projects should be regulated
️ Binance management intends to establish a dialogue with regulators
Binance is undergoing a large-scale reorganization aimed at transforming the crypto exchange into a licensed financial institution. The changes, according to the company’s management, should help improve relations with regulators.
2021 has been a challenging year for Binance. British, Japanese, Singaporean and Hong Kong regulators issued warnings regarding the operation of the crypto platform. The CEO of the exchange, Changpeng Zhao, noted that the company has already started a dialogue with regulators, hoping to obtain the necessary permits to work in various jurisdictions.
“As we run a centralised exchange, we have come to realise that we need to have a centralised entity to work well with regulators. We need to have clear records of stakeholders’ ownership, transparency and risk controls,” Zhao said.
️ Opinion: not all crypto projects should be regulated
Former chief of the Office of the Comptroller of the US Currency Circulation Brian Brooks believes that the authorities’ approach to regulating the digital asset market is wrong. In his opinion, not all crypto projects need regulatory oversight.
“I don’t start with regulation. “What is the activity we are doing here and what aspects of it should be regulated?” I’m starting with. Additionally, I do not start with the assumption that everything that happens in the crypto world should be subject to banking and securities regulation,” Brian Brooks said.
Brooks served as chief of the OCC under Donald Trump, and in part, he blames Democrats for overly restricting crypto companies. He recalled the phrase of the head of the SEC Gary Gensler, who said that “any activity related to securities should be regulated by the SEC.”