Binance Looks to Launch 3 Fiat-Crypto Exchanges This Year, and Has No Plan for IPO
Binance, the world’s largest crypto exchange by trading volume, announced on Wednesday at a press briefing that the exchange plans to launch three fiat-to-crypto trading platforms this year. Alongside that, its decentralized crypto exchange will be unveiled within half a year at the earliest.
It’s not surprising that Binance pushes forward with plans to set up fiat-crypto exchanges though Binance.com now is a pure crypto-to-crypto exchange as it told Cointelegraph. In late June, the exchange announced its first fiat-crypto trading platform in Uganda, called Binance Uganda, starting a fiat-crypto trading pair with the Uganda shilling. Also, Binance intends to offer crypto-fiat trading soon in Malta through a separate local exchange given that its bank account has been opened in the country.
The exchange’s spokesperson indicated at the press briefing that the Binance’s trading system can support 1.4 million matching orders per second now, priming it to take the lead in the sector. The platform now provides customer service in over 12 languages and has so far helped users recover $1.36 billion worth of cryptocurrencies which they sent to a wrong addresses.
Answering a question on whether Binance is considering to get financed through an initial public offering(IPO) , the spokesperson firmly stated that the exchange has no plan to conduct an IPO .
The “ trade-driven mining”, a new and burgeoning fee model promoted by Chinese exchange Fcoin, causes quite a stir in the cryptocurrency space, and seems to pose a challenge to Binance.
As a response to the problem, Binance’s co-founder He Yi told the press audience briefing that “ ‘ Trade mining’ is a stunt of formalism. In essence, the business model does not solve any problems faced by the industry nor improve efficiency. Dividends from ‘trade mining’ just leads to the excessive inflation in the market.”
“It’s not hard to fathom that the smaller exchanges will seek to dethrone the world’s largest exchange during most of the time. When you are in that position, you need to face different challengers.” Ms. He said in a separate interview with 8BTC last Saturday. Binance claimed a net profit of between $500 million and $ 1 billion last year.