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Binance is ‘in it for the long game’ when it comes to Europe and doesn’t fear the crypto crash

Cryptocurrency winter cools the market and at a price Bitcoin crashes below Cryptocurrency exchanges that fire staff for fear of being bitten by a major threshold of $ 20,000 (€ 19,000) and recession, the world’s largest crypto exchanges are all déjà vu and don’t worry Is called.

“This is an early industry and we have experienced these cycles before, and I think it’s a natural part of this industry,” said this year’s VivaTech conference in Paris. In an interview with Euronews Next, Martin Bruncko, Executive Vice President of Europe at Binance, said.

Bruncko said it was “very sad” to see businesses go bankrupt and people lose money, but such a low part of the cryptocurrency price cycle could also spur innovation. I admitted.

“Even in the normal tech industry, every time a crash occurs, something great usually happens,” he said.

“By the way, some of the best companies like Facebook and LinkedIn are all created in the first major internet crash in 2001, so I think it’s a kind of catastrophe for the industry. “

This is a significantly different picture drawn compared to our competitor Coinbase.

Last week it was reported that one-fifth of its employees would be dismissed due to the potential recession, the need for cost control and “too fast” growth in the bull market. According to an email sent to employees by CEO Brian Armstrong.

Binance takes you to the city of light

Binance, on the other hand, spends a lot of money, especially in Europe.

The Chinese company announced in April that it would help build Web3 and blockchain projects at Station F, a startup incubator in Paris, as part of an injection of € 100 million into France. This is an initiative called Objective Moon.

Selected start-ups will be hosted for free at Station F and will benefit from Binance’s subsidiaries.

Binance has also selected Paris as its European hub, expanding its offices in the French capital from 50 staff to 250 staff.

The company received regulatory approval in May to provide digital asset services in France, the first European country to obtain such a permit.

“”[Regulation in France] It can be a fully regulated and monitored entity. So it’s just the foundation, “Bruncko said.

“Now that we have a foundation, we can start building more for both our customers, France, and the French economy in the French technology ecosystem.

“We are very fortunate to have a little magnet effect in the crypto industry. Therefore, usually when you go somewhere, you can bring much of that ecosystem with us. Yes, many ecosystems follow. “

However, some have criticized Binance and French regulators for giving Binance approval easily.

According to some experts, the licensed French stock market watchdog, Autorité des marchés financiers (AMF), has business conduct regulations, market fairness issues, health requirements, consumer protection, transparency issues and more. Does not address the elements of.

Asked if France over-recognized binance regulations, Bruncko replied, “It’s totally nonsense and seems to be a very unfair accusation.”

He said Binance had been with AMF for two years and “this wasn’t given to us.”

“Throughout this process, the French government was very clear that it might be excited about the interesting techniques that are coming to France. The most important thing for France is the signature from the French state. , Do it only if you are 100% sure that the entity actually meets all the criteria, “he said.

“There was no special treatment,” he added.

Binance bends its muscles in Europe

Binance has no plans to stop in France. It aims to be completely pan-European.

The company has recently received regulatory approval in Italy and plans to extend its wings to Spain, Portugal, Slovakia, Bulgaria, Romania and Scandinavia.

“I think Web3, and in general European technology, has so many possibilities, so I’m very excited about it,” Bruncko said.

“As Europeans, we’re doing very well in catching up with American and Chinese techniques, and I think this is a really great opportunity for Europe to actually lead only once,” he said. Added.

“And I hope Binance can really contribute significantly to what we are trying to do in what we are trying to do in Europe.”

European Union regulators may also finalize the crypto bill this month. The Markets in Crypto-Assets (MiCA) bill has been negotiated since 2020 and aims to shape cryptographic development in the European Single Market.

Mr. Blanco said Binance welcomed it and could not come soon.

“MiCA’s ultimate goal is to create a single market for cryptocurrencies and blockchain,” he said.

“And over the last 40 years, we’ve seen over and over again that Europe can only compete if there is a single market, the right single market, so we are very supportive of it. In fact, we are, if anything, driving MiCA to become more powerful. “

Become tough in russia

One of the EU’s ambitions is to crack down on cryptography used in hacking and fraud. This has been criticized since Reuters’ research revealed that the total number of transactions Binance has processed in the past is at least $ 2.35 billion (€ 2.22 billion). Hacking, investment fraud, illegal drug sales.

“We have always put customer protection at the forefront, and we are always making sure that we comply with all rules and regulations, including money laundering. This is actually a significant increase from last year. It has been strengthened, “Bruncko said, adding that top staff are working in this area, including those who worked at Europol.

To become a Binance customer, you need to do some checks and you cannot be a Politically Exposed Person (PEP).

“We were actually ahead of the curve, even if we were ahead of the EU, in offboarding people who were considered risky in terms of money laundering and corruption,” Bruncko said. increase.

“Interestingly, I didn’t offboard a lot of people at first. And you might ask, well, that’s a bad thing. Not really. The reason why many people don’t go offboard is I didn’t allow participation on the platform in the first place. “

He said Binance banned accounts before people were on the sanctions list when new sanctions were imposed on Russia for the invasion of Ukraine. Legal reason.

“One of them went offboard two weeks before she was on the sanctions list. The second was off within four hours of being on the sanctions list because she was already on the watchlist. I boarded it, “Bruncko said.

“Long game”

The crash of the so-called stablecoin TerraUSD and its sister token, Luna, could also tighten cryptographic restrictions.

However, Binance says it is taking steps to prevent customers from losing everything.

One initiative is a responsible trading policy. This is very similar to the responsible Gamin policy and uses the system to give a cooling-off period, especially if a new user loses money quickly.

“You can say it’s against your interests. As you know, you can make money,” Bruncko said.

“But losing money in the short term due to lack of proper education due to lack of proper skills not only causes real human tragedy, but also brings a bad impression and bad PR to the industry. ..

“In that sense, I think we’re in a really long game,” he said.

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