The Chief Executive Officer of Binance has stated that they believe this step would help bridge the gap between traditional and decentralized forms of money. In addition to that, he has brought up the possibility of devoting resources to the endeavor that are worth one billion dollars. It is possible that the transaction will continue over the next few months.
It appears necessary, given the current political and economic context, for cryptocurrency moguls to take action in order to safeguard the industry's continued existence and maintain its equilibrium. The fact that Binance has decided to launch a TradeFi bank can be understood in a variety of different ways. On the other hand, the CEO of Binance has asserted that bear markets are the perfect environment for expanding an organization's portfolio of holdings.
CZ made this assertion while he was talking to the journalists at the Web Summit Conference in Lisbon not too long ago. He said that owning licenses is beneficial for financial institutions such as banks and other businesses. Traditional banks typically place a significant emphasis on the significance of a verifiable custodial services provider; however, this is not the case with cryptocurrency businesses.
As a result, Binance is looking into other ways to incorporate these choices into its platform. Because there is no tax on cryptocurrency transactions in Portugal, the country is frequently cited as an example of governments that support this industry.
Binance's Expansion
It is already common knowledge that the cryptocurrency exchange Binance is the seventh largest stakeholder in Tesla CEO Elon Musk's acquisition of Twitter. According to a report by Bloomberg, the cryptocurrency organization has reportedly made investments in 67 projects totaling $300 million, dividing their capital in that way. During the course of the previous year, the exchange platform made investments in 73 projects totaling 140 million dollars.
At the moment, the corporation has a surplus of $500 million that it is considering using toward the purchase of financial institutions. When CZ was asked about the future of NFTs, he stated that at the present time, NFTs are not being utilized appropriately and have a poor technical structure. On the other hand, he asserts that in the not too distant future, NFTs will achieve greater prominence as a result of the discovery of mainstream applications such as university degrees and tickets.
