Binance CEO Changpeng Zhao Says 2018 was a Correction Year,  Remains Confident in Crypto

December 21, 2018 / by Tabassum Naiz
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Changpang Zhao

In a recent Bloomberg interview, Binance CEO and co-founder Changpeng Zhao revealed his plans for launching 10 more fiat exchanges in the coming year. As the market crashed, Zhao discussed the potential price impact on the bull story of cryptocurrency market, government roles in regulating cryptocurrency, and why he is still very confident despite his own assets being down.

2018 is the correction year

Looking closer at the decline of total market cap, Zhao told Bloomberg that many projects didn’t make it this year, and 2018 was a tough price year for cryptocurrencies.

He called 2018 a correction year and said that prices in 2017 were overvalued and vice-versa this year but noted that people in the industry are still very confident towards the future of cryptocurrency.

Explaining whether or not figures of the price affect current value, Zhao said “price is a very strong attraction, encouraging developers in crypto applications through which the market will grow.

He noted that:

“Long-term, the industry is sustained by real applications, real use cases of cryptocurrency, which a lot of people are building. So that’s happening regardless of where the price moves.”

Setting up 10 New Exchanges

CZ openly discussed the proposed plan of launching 10 new cryptocurrency exchanges in 2019. He pointed out that they have launched one cryptocurrency exchange so far and will be slated two-three exchanges in near future. As far as the security on its platform is considered, he said that Binance has very strong KYC, AML and many other processes that make the system highly secure and safe.

While talking about the cryptocurrency regulations, Zhao did mention that cryptocurrency regulation needs clarity, citing how authorities of many countries in the world have too much uncertainty. He added;

“We want clarity, but we also want good, sensible regulations. We want regulations that promote innovation and not things that totally hamper innovation.”

Zhao spoke about his $2 billion investment in digital assets when the crypto market was touching highs in 2017. Speaking about the market crash and the current value status of his digital assets, Zhao said ‘yes, the assets are definitely down but this had no impact on the company’s expansion strategy. “I am still very confident.”

Clearly, Binance Exchange is moving forward aggressively to expand its business. Launched in 2017, Binance is now the world’s largest cryptocurrency exchange with a market cap of $1.3 billion at press time.