Changpeng Zhao – Founder and Chief Executive Officer of Binance – said the US arm of the cryptocurrency exchange could follow Coinbase and have an initial public offering in the next 36 months.
- In a recent interview with The Information, the head of Binance – Changpeng Zhao – revealed that Binance.US – the company’s affiliate in the States – plans to launch an IPO in the next three years:
- “Binance.US is just going to do what Coinbase did.” – said Zhao.
- Coinbase – another leading cryptocurrency exchange – became the first major company in the field to have its shares publicly traded. In mid-April, when the platform had its IPO, it started trading on Nasdaq at a price of around $400. As of now, though, the COIN shares have dropped to around $265.
- During his interview, Changpeng Zhao – also known as CZ – pointed out that Binance.US is close to settling a large private fundraising round in the upcoming months. The initiative would reduce the CEO’s control of the board.
- It is worth noting that the former CEO of Binance. US – Brian Brooks – recently resigned from his position. The top executive did not elaborate much in detail, simply explaining that there were differences over the strategic direction of the exchange.
- Even though the trading venue has caught the attention of many regulators, it generated earnings between $800 million and $1 billion during the past year, according to Zhao.
- In this manner, the Financial Conduct Authority (FCA) stated last week that it had settled all of its previous issues with the world’s largest cryptocurrency exchange – Binance:
- “On June 25th, 2021, the FCA imposed requirements on Binance Markets Limited. The firm complied with all aspects of the requirements.”
- However, shortly after, the British watchdog warned that “based upon the firm’s engagement to date,” the trading venue poses a significant risk and cannot be supervised effectively.
- This is not the first time CZ has spoken about an IPO. The executive hinted about such a potential development in July this year.