Regardless of how many new users it attracts, Binance has no plans to open stock trading.
Share on podcast gm newest of Decrypt, Mr. Changpeng Zhao frankly that exchanges cryptocurrency It is neither right nor wrong to offer this feature, but he emphasizes that trading stocks does not fit with his company's philosophy.
The above statement was made in the context of a strong correction in the market, some organizations have started to redirect development to attract more users to them. FTX started trading 0% shares with commission and securities payment gateway by stablecoins mid-May.
Binance has always drawn significant boundaries with some direct counterweights:
“We do not have any plans to open stock trading. We just thought we weren't going to be running a financial brokerage shop any time soon.”
While stock trading is a fertile ground for many retail investment platforms such as Robinhood and Webull, CZ is still at the helm of the Binance boat focusing on promoting Web3:
“We are a pure Web3 company. We are not looking back, we will continue to move forward.”
The CEO also expressed that Binance is eyeing a number of potential acquisitions and none of them will be involved in traditional stock trading. The deals targeted will be "simpler" than companies with a loan structure or a complex bailout.
“That is not to say that complex transactions are bad. But my preference has always been to keep things simple and straightforward, which seems to have become our very basic core principle.”
CZ's statement is likely alluding to a credit line close to $500 million that Alameda Research, the fund founded by billionaire Sam Bankman-Fried, gave Voyager Digital a "hot loan" before bankruptcy. Back in May, CEO FTX has "launched a lifeline" to buy 7.6% shares of Robinhood, there have been rumors that he will "buy out" the stock brokerage platform and crypto this, but he immediately denied it.
It can be seen that these two leading billionaires in the industry often have opposing views, culminating in the evening of July 7. In the current "liquidity crisis", billionaire Sam Bankman-Fried has emerged as a "hero of the times", constantly volunteering to rescue the market through acquisitions, although he believes that there will be more risks. many more companies dissolved. However, this action also received mixed opinions when he said that he was "taking advantage" of the sick market to expand his profit pie and score points in everyone's eyes.
On the other hand, Binance exchange owner Changpeng Zhao said no to hundreds of rescues every day because the operating model of those projects has failed and cannot be saved anymore. However, most recently, Binance has cut its investment in Sky Mavis and is accused of bypassing the US eyes, aiding Iran to avoid sanctions.