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However, Zhao retains a significant stake, and his departure marks a leadership shift. CEO Richard Teng emphasized that Binance’s seven-member board reassures regulators.
Key Notes
Binance CEO Richard Teng reports a 40% rise in corporate and institutional investors on the platform in 2024.Binance's strategic focus on corporate governance and clearer regulations is attracting major institutional players.Teng credits the involvement of financial giants and the approval of Bitcoin ETFs for boosting market credibility .Binance CEO Richard Teng announced a 40% rise in institutional and corporate investors on the platform this year. He shared this achievement during an interview with CNBC on September 18, 2024.
Teng noted that this jump in institutional interest is “just the beginning,” as many firms are still conducting research before fully entering the crypto market. Even with ongoing regulatory challenges, Binance has managed to attract major investors, highlighting the company’s strategic shift under Teng’s leadership.
Since taking the CEO role in November 2023, after Binance’s co-founder Changpeng Zhao stepped down following a $4.3 billion US settlement, Teng has guided the company toward clearer regulation. He pointed out the firm’s transition from founder-led leadership to a more traditional corporate style — an effort aimed at better aligning with global regulatory expectations.
Binance’s Structural Shift and Leadership Changes
Binance has made significant progress after a tough period, which included settling legal issues with the US government. The departure of Zhao, who still holds a large share in the company, marked a shift in leadership. Teng, who previously managed regulatory bodies in Abu Dhabi and Singapore, highlighted that Binance’s seven-member board is a good sign for regulators, showing the company’s commitment to compliance.
The company’s recent focus on corporate governance has drawn more institutional interest. Teng believes that clearer regulations, especially in markets like the US, are helping boost the credibility of the crypto sector. The approval of spot Bitcoin exchange-traded funds (ETFs) earlier this year has also attracted institutions to explore the market.
Binance’s recent achievements reflect a broader trend in the industry, as major financial players like BlackRock and Franklin Templeton have introduced their own Bitcoin BTC $62 033 24h volatility: 3.3% Market cap: $1.22 T Vol. 24h: $48.66 B and Ether ETH $2 435 24h volatility: 5.1% Market cap: $292.86 B Vol. 24h: $21.05 B funds. The recent push from traditional finance has contributed to Bitcoin’s rise, which hit over $70,000 earlier this year. Teng links this price surge to the flow of institutional funds and notes that the Bitcoin halving event in April still affects market movements.
Although Teng did not provide specific price forecasts for Bitcoin, he mentioned that markets tend to heat up around 160 days after a halving event. As of September 18, 2024, the market was nine days away from this key period, signaling possible price changes ahead.
Institutional Confidence Paves the Way for Growth
The rise of corporate and institutional investors signals a clear change in market sentiment. Teng, speaking at Token2049, shows that while retail investors are still important, major institutions now see crypto as a long-term asset. The involvement of financial giants like BlackRock and Franklin Templeton has boosted the market’s credibility of digital assets.
At the time of writing, Bitcoin is trading at $62,120, marking a 2.90% gain in the last 24 hours, according to CoinMarketCap. Bitcoin’s recent rise shows the market’s steady progress despite regulatory challenges. Teng’s cautious optimism indicates that Binance will keep focusing on bringing in more institutional investors as the market evolves.
Binance’s recent 40% increase in corporate and institutional investors shows the platform’s strength and appeal amid regulatory pressures. Under Teng’s leadership, Binance is positioning itself as a leader in institutional crypto, affirming that digital assets are becoming an established part of global finance.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
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With over 3 years of crypto writing experience, Bena strives to make crypto, blockchain, Web3, and fintech accessible to all. Beyond cryptocurrencies, Bena also enjoys reading books in her spare time.
