ATHENS – Cryptocurrency regulation rather than opposition is the better option for governments, according to Binance Chief Executive Officer Changpeng Zhao. Speaking at a Binance event in Athens on Friday, Zhao said adoption of digital currencies will happen regardless and it’s best for governments to regulate the industry rather than try to fight it.
The discussion of crypto regulation has been pushed to the forefront of the global conversation in light of the collapse of the FTX exchange earlier this month. Traders pulled $6 billion from the platform in three days, leaving an estimated 1 million creditors to face billions of dollars in losses. Despite this, Zhao remains optimistic about the future of the industry, saying that this year has been a “very nasty” one but the industry is now healthier.
When asked whether he saw countries adding crypto currencies such as Bitcoin to their reserves, Zhao said smaller countries are likely to be the first to do so. “The smaller countries will start first, I think,” he said.
The idea of crypto regulation is no longer seen as a preventative measure to protect citizens, but as an inevitable step for governments as digital currencies become more mainstream. Zhao said there is a shift in the understanding of how governments should take action and that this approach is leading to a healthier industry.
(Reporting by Renee Maltezou, writing by Michele Kambas; editing by Anna Driver)