Changpeng Zhao: Binance.US is planning an IPO in the next three years. Moreover, In the next three years, Binance’s affiliate, based in the United States cryptocurrency exchange Binance.US is planning to conduct an initial public offering (IPO) on the U.S. stock market. Changpeng “CZ” Zhao (founder and CEO at Binance) stated this in an interview with The Information.
Binance.US is going to do what Coinbase did
“Binance.US is just going to do what Coinbase did,” Zhao said.
Furthermore, according to his statement, over the next two months, the branch will close a “large round of private financing”. The deal will reduce the control of the company’s CEO over the board of directors.
Zhao noted that the exact timing of the placement will depend on market conditions and the growth of Binance.US’ business
He told that if the business can grow consistently over the next three years, then three years should be sufficient for an IPO. “If there’s a prolonged bear market for, I don’t know, maybe three or five years, then it may be a little bit longer,” Changpeng explained.
For the first time, Zhao spoke about Binance.US’ plans to enter the stock market in June 2021. Then he said that the division is currently focusing on the development and growth of the business.
Binance regulatory issues
In March, the CEO said that the main Binance platform does not plan to conduct an IPO.
This was a statement against the background of problems with the regulation of the bitcoin exchange.
On the other hand, in June, the U.K. Financial Conduct Authority (FCA) banned Binance Markets Limited from any regulated activity in the country without prior written approval.
The Cayman Islands began to check the operation of the exchange. Thailand and Hong Kong accused the company of operating without a license. Japan issued another warning to it.
Additionally, Polish regulators warned consumers about the risks of interacting with the platform, as well, Italy and Malta, about the unregulated activities of Binance.
At the end of July, the Securities Commission of Malaysia announced enforcement measures against the trading platform “for illegal management of the digital asset exchange“.
In August, the Central Bank of the Netherlands announced that Binance had no registration to provide services in the countries.
In September, the Monetary Authority of Singapore warned investors that Binance’s activities are unregulated.
Recall that the bitcoin exchange is considering the possibility of raising funds from Singapore’s public funds at a valuation of $200 billion.