Many South Korean start-ups have difficulties breaking into the global market, but Binance CEO Richard Teng has said that the company intends to assist these businesses, particularly those in the cryptocurrency industry.
Teng spoke on possible financing prospects and the possibility of supporting more initiatives via Binance Labs and other platforms during a panel event in Seoul, South Korea, led by Ryan Kim, co-founder and partner of Hashed.
While local South Korean entrepreneurs may have difficulties in comprehending foreign markets, tastes, and regulatory jurisdictions, Binance plays a crucial role in connecting these enterprises to global prospects, according to Teng.
If South Korean initiatives are appealing, we can help fund them and close the gap when it comes to expanding internationally, Teng said.
Excessive Trading of Retail Crypto in South Korea
The South Korean financial authorities have been imposing heavy regulatory obstacles on cryptocurrency exchanges, making it difficult for them to enter the market.
According to Tiger Research, new exchanges are impeded from joining the market by stringent rules, and Upbit and Bithumb control more than 95% of the industry.
The level of retail involvement is astounding. Consequently, the market is crucial. While developing the framework, each nation will have its own set of priorities and policy concerns. According to Teng, the Korean government must decide what is best for the country.
Binance sees South Korea as a key market due to the country's significant retail engagement and is eager to collaborate with local authorities to understand and comply with the country's specific regulations.
South Korea Presents Challenges for Binance
The South Korean exchange GOPAX was acquired by Binance in 2023. Unfortunately, the sale was blocked by the Financial Services Commission (FSC), which ordered Binance to cut its shareholding from 70% to 10%. Megazone, a cloud services company, intervened and offered to purchase Binance's controlling ownership in GOPAX.
Power Shifts Occur in the Asia-Pacific Crypto Market
Teng saw major crypto advances in nations like Hong Kong, Singapore, and Japan as the attention shifted to the larger Asia-Pacific market. He made a point of observing the various phases of crypto-friendly policy adoption by these markets over the years.
While Teng acknowledges that several cryptocurrency exchanges first expanded their operations to Japan, this trend has now reversed.
Afterwards, it moved to Singapore. In 2020, when Singapore raised its crypto flag. Moved to Hong Kong earlier this year. Consequently, several nations in the Asia-Pacific region are exploring ways to become very [crypto]friendly at large. Not only is Korea a tremendously dynamic country, but Teng also noted that there are "pockets of very interesting developments" that are repeated.
Entering the Indian Market Again: Binance
Teng emphasized the necessity of collaborating closely with local stakeholders and the possibility for development in the Indian market, and Binance recently filed as a reporting entity with India's Financial Intelligence Unit (FIU-IND).
Not long ago, we received 19 regulatory licenses throughout the world, including one in India. As a result, we are now the most heavily regulated exchange in the world, according to Teng, as we are registered with India's financial intelligence agency.
In his remarks on the Middle East, Teng highlighted the creative methods to regulation in places like Dubai, Abu Dhabi, and Bahrain. He spoke highly of the Virtual Assets Regulatory Authority (Vara), established up in Dubai to regulate the cryptocurrency market.
Teng made the comment, "Having a dedicated regulator just regulating crypto is a very, very interesting concept," implying that other places may learn from this level of concentrated supervision.
KBW2024 is Starting Soon in Seoul!
From September 1st to the 7th, 2024, Seoul, South Korea will play host to Korea Blockchain Week (KBW2024), an event that will attract blockchain enthusiasts, developers, investors, and thought leaders from all over the world. As a pioneer in Web3 and blockchain technology, the nation is leaving an indelible impression.
#BNBChainMemecoins #BinanceBlockchainWeek #RichardTeng @Richard Teng