In a candid interview on CoinDesk TV, Richard Teng, CEO of Binance, opened up about his role at the world’s largest crypto exchange, the company’s relationship with global regulators, and his outlook on the future of cryptocurrency adoption. Over the course of the discussion, Teng shared insights into the challenges and successes Binance has faced, his commitment to innovation, and the broader implications of crypto’s evolution.
Since taking on the role of CEO at Binance, Teng has been focused on building a robust and compliant platform for its 220 million users worldwide. Teng noted that Binance has made significant strides in expanding its presence and gaining regulatory approvals across multiple jurisdictions, including Indonesia, India, Kazakhstan, Thailand, and Dubai.
Reflecting on the company’s journey, Teng emphasized that Binance’s primary mission is to support the “freedom of money” and foster a vibrant blockchain ecosystem. He acknowledged the challenges Binance faced when he took over, such as regulatory fines, but emphasized that the platform’s strong foundation and user trust, built over seven years, have allowed it to continue thriving.
Teng was clear in addressing the regulatory hurdles Binance has faced, particularly the skepticism from global regulators. He highlighted that the regulatory landscape has shifted dramatically in the last few years, with more countries enacting clearer frameworks for cryptocurrency. As a former financial services regulator himself, Teng understands the importance of balancing innovation with risk mitigation. He stressed that regulation should not be one-dimensional and must support both the protection of users and the growth of the crypto sector.
In terms of the broader industry, Teng mentioned that crypto has been misunderstood by regulators and the public alike. He urged policymakers to better educate themselves about blockchain technology and the benefits of cryptocurrencies. According to Teng, the perception that crypto is primarily used for illicit activities is outdated, with the actual amount of crypto-related money laundering being minuscule compared to traditional fiat currencies.
One of the most significant developments Teng highlighted is the growing institutional interest in cryptocurrency. He described 2024 as a landmark year for crypto adoption, with increasing regulatory clarity and institutions like BlackRock moving from crypto skepticism to advocacy. Teng believes that institutional involvement is critical to driving mainstream adoption, marking a pivotal shift in how cryptocurrencies are perceived by traditional financial institutions.
According to Teng, the rapid growth in Binance’s user base is a testament to the increasing pace of crypto adoption. The platform gained its first 100 million users in five years, the second 100 million in just two years, and Teng expects the next 100 million users to come even faster. Binance remains committed to supporting this accelerated growth by continuously improving its products and services.
Security and compliance are two of Binance’s top priorities, according to Teng. He noted that Binance’s compliance spending has increased significantly, with $230 million allocated in 2023, up from $158 million the previous year. Binance has also invested heavily in expanding its compliance team, with over 500 staff dedicated to ensuring regulatory adherence.
In terms of security, Teng discussed the importance of protecting users’ assets and highlighted the company’s efforts in recovering funds lost to scams and fraud. Binance has helped users recover $73 million in stolen funds in 2023 alone. The company also maintains a $1 billion insurance fund (the SAFU Fund) to safeguard users’ assets in the event of a security breach.
Teng touched on one of the biggest challenges facing the crypto industry: the lack of global regulatory harmony. Different jurisdictions treat cryptocurrencies differently—some as commodities, others as securities or payment tokens. This inconsistency makes it difficult for companies like Binance to operate seamlessly across borders. Teng advocated for a global regulatory framework that could streamline compliance and protect users more effectively.
However, Teng acknowledged that achieving such a framework would require significant political will and collaboration among regulators. Despite the challenges, he remains optimistic that, as the industry matures, there will be greater convergence toward standardized regulations.
When asked about his personal journey into the crypto space, Teng recalled how he first encountered cryptocurrency in 2017, a time when institutional investors were not involved in the space. He admitted that he never imagined himself leading Binance, given his background in traditional finance and regulation, but his belief in the transformative potential of blockchain technology ultimately drew him into the industry.
Looking forward, Teng is bullish about the future of cryptocurrency. He envisions rapid growth in adoption and continued technological advancements, particularly in areas like asset tokenization and decentralized finance (DeFi). His goal is to position Binance at the forefront of these developments while maintaining the company’s commitment to security, compliance, and user protection.
As for challenges, Teng acknowledged that crypto is a highly dynamic industry where new obstacles arise daily. However, he remains focused on sustainable growth and ensuring that Binance continues to innovate and adapt to the changing landscape.