[The following content is provided by Binance]
The third Taipei Blockchain Week officially concluded last week. This was the first visit to Taiwan by Vishal Sacheendran, the regional market head of Binance, who represented Binance at this grand event, engaging in a fireside chat with Li Yunxiu, co-founder of Red House Capital, about the current and future development of the crypto market. Regarding the future development of the crypto industry, Vishal expressed his optimism, pointing out that there have been many changes in the global crypto regulatory environment, with more governments, including Taiwan, wanting to actively understand this industry and assist its development, providing more value to the ecosystem.
Image source: Binance
As a former regulatory official with a background in traditional finance, Vishal is primarily responsible for communication with governments and regulatory bodies in various countries at Binance. He believes that over the past few years, the overall crypto industry has made considerable progress in establishing trust with regulatory authorities. Using Binance as an example, he pointed out that many team members from management to compliance and law enforcement come from the former public sector or traditional finance industry, sharing a 'system' with regulatory officials, which enables effective communication between Binance and governments.
Vishal explained that in the crypto industry, there are usually three categories of regulatory bodies. The first does not understand new technologies and adopts a comprehensive ban on new things; the second, like early Europe or Taiwan, takes an observational approach to new technologies, starting with anti-money laundering for industry regulation, and only when the industry matures further establishing a new regulatory framework; the last category includes countries like the UAE and Bahrain, which not only understand but also embrace new technologies, providing users with more protective measures, with anti-money laundering being just one part of the overall regulatory framework. Vishal pointed out that in 2024, more transitions from the first type to the second type and from the second type to the third type can be expected, and the positive impact brought about is that the issuance of ETFs is gaining regulatory approval, leading to an influx of institutional investors and traditional capital into the market, thus promoting the current market development.
When discussing future industry development and the impact of traditional institutions entering the market, Vishal stated that currently, the population holding crypto assets globally is still very niche, whether among retail or institutional investors, and there is still a significant growth space, with the market being large enough for everyone to have a place. At the same time, the implementation of regulations, and in some countries, Bitcoin being included as part of their reserve mechanism, all contribute to the limitless prospects for the future development of crypto assets.
Image source: Binance
When asked about his views on the current market development, Vishal believes that the entire industry can do more in the educational aspect, not just for users, but for the entire system including the government, regulatory officials, law enforcement agencies, and enterprises, helping them to better understand the crypto industry. On the other hand, Vishal also pointed out that more governments are now taking proactive actions, expecting to introduce an ecosystem locally. He cited that Taiwan has a young community, friendly regulatory officials, and outstanding talents, especially among developers, and the government is also seeking ways to retain talent for local development, creating more value for the ecosystem. This development also excites him considerably.
Vishal pointed out that in the past, the industry actively approached the government, whereas now it has transformed into the government actively engaging with the industry to seek opinions. He emphasized that as long as the government continues to maintain contact with the industry and remains open to industry communication, Binance will always be willing to help.
'Binance Regional Head Vishal Discusses the Future: Three Major Development Directions for the Global Crypto Market and Regulation' was originally published in 'Crypto City'