Binance aims to transform from a technology giant to a financial services company

Binance CEO, Zhao Changpeng has confirmed the exchange platform’s plans to shift from the innovative technology giant that it is, to a financial services provider, given the company’s history with regulators globally.

In an exclusive interview with Squawk Box, Zhao Changpeng addressed the elephant in the room, i.e., Binance’s latest regulator-friendly approach.

CZ noted that its become clear that the exchange is on its way to becoming centralized and for that to happen they also need to adapt to a centralized structure and shift the company’s focus to financial services over innovative technological advancements.

“Right now we’re at the pivotal point and we need to change from a technology company to a financial services company”, CZ told Squawk Box.

Binance begins setting up physical offices

Furthermore, he highlighted that the company has already begun setting up physical headquarters, from regional HQs to local branches, the company has established its fiscal locations to abide by centralized financial systems. He stated that as the crypto industry grows, more regulatory oversight will commence and it is high time for crypto businesses like Binance to stray away from its decentralized origin since the regulators “don’t know how to work with decentralized structures”. CZ said that at Binance, “We believe very strongly that regulations are good for this industry” to facilitate mass crypto adoption in the long run. According to him, regulations could provide the crypto community with an outlet to approach a larger audience, with a sense of security for its consumers.

Last week, Changpeng Zhao also revealed Binance’s plans to become a digital asset service provider in France by next year. According to local news, the crypto exchange platform could most likely set up shop in the country, followed by its former investment worth $116 million in boosting France’s decentralized ecosystem. Zhao said that the exchange is finally looking to settle down and that “France will be a natural choice for a regional, and even perhaps global, head office”.