Binance’s CEO Zhao Changpeng Eyes a $1 Billion Net Profit in 2018
Although cryptocurrency crash causes billions of dollars losses in the market this year, Zhao Changpeng, CEO of Binance, the world’s leading cryptocurrency exchange, is still quite optimistic about the crypto market and said that Binance is expecting a net profit of $500 million to $1 billion in 2018.
In an interview with Bloomberg on July 6, Zhao was confident about Binance’s profitability for this year. He disclosed that the first half revenue of 2018 was about $300 million. As the top exchange in the world, Binance is processing over $1.2 billion worth of trades in the past 24 hours according to Coinmarketcap.com.
The newborn exchange has become a myth in crypto industry with roughly $1.5 billion average daily turnover and 10 million users in its first year in the market. It has also raised $15 million through an ICO in July 2017, only 11 days after its launching.
Zhao said that 2018 has been a hard time for some crypto exchanges as bitcoin lose 52 percent of its value which drives the whole crypto market down. Some investors have pulled out of the market and lick their wounds. Many exchanges, including the top ones, were suffered from hacking attack; the financial authorities in many countries also strengthen their regulatory crackdown on cryptocurrency trading.
Just a few days ago, Binance was forced to halted tradingdue to reports of irregular transactions that allowed 1 Syscoin to be traded for 96 bitcoins. However, the exchange responded rapidly to the accident and turned things around. Binance also introduces the Secure Asset Fund for Users (SAFU) that will store 10% of all trading fees to cover losses in the extreme situations.
Binance also has clashed with the Japanese and Hong Kong governments in some respects, but the exchange is still pushing its ambitious expansion scheme which soon provides crypto trading platforms the fiat-crypto trading service for custumers in Bermuda and Malta as well as a fiat-crypto trading service for investors in Uganda.