MOSCOW – If you want to hide money from the authorities, do not choose Binance, said the CEO, Changpeng Zhao (CZ).
The tycoon of the cryptocurrency exchange sat down to talk to Anna Baydakova of CoinDesk during her recent visit to Russia. Our conversation – more than 80 minutes – touched everything from security and security to crypto-exchange projects for Eastern Europe and Russia.
During the interview, CZ rejected the widespread perception of Binance as a global crypto pirate.
"There is a common misconception that Binance is a sort of outlaw, that we do not work with compliance, we do not work with the forces of order," he said. . "Even at the very beginning, we have cooperated extensively with all governments, with all law enforcement agencies, all regulators."
What about political dissidents who face criminal charges under oppressive regimes? Unfortunately, the same thing: if a criminal case is brought against you, Binance will have to work with the authorities and possibly divulge your information.
As CZ had warned:
"I hope these guys do not use us. Better yet, use decentralized exchange types, confidentiality pieces, do not bother, I hope. We have no chance. Unfortunately, in such cases, we can not do much, we simply have no choice. "
Russia is one of the key markets for Binance and the stock market wants to hire local developers, CZ said. He also discussed the perspectives of Binance's Stablecoin project, Venus. Small economies are more likely to host the project, he said. He expects it to be popular in Bermuda, which has recently started accepting taxes in Binance's US indexed base.
CZ does not expect Venus-related bank notes to be quickly adopted in large countries like Russia, the United States and China. Documentary evidence approved by the government, although far from the initially decentralized and uncontrolled nature of cryptography, is important for the development of cryptographic infrastructure, he said:
"The real world is not binary, fiat or crypto. We may not be able to move forward (cryptographic adoption) in one giant step. We can have more degrees of decentralization.
CZ also discussed the 125x leverage option recently introduced by Binance. For those who think it's just a way for reckless traders to get a "reward," he says, you will not have to use the sharpest knife you see.
"That's what users are asking for. So we give them what they want, "he said. When asked if even more leverage could be available on Binance one day, he replied that it was the case "at some point, when there is enough cash ":
"500x exists in FX trading, in traditional financial markets. For the cryptocurrency markets, it is too high at the moment. But in six months, in a year, who knows?
CZ also discussed the ambitious and controversial string chain projects underway on the social media giants and Facebook and Telegram messaging. Not even a total ban could stop them, he said.
"Even if the regulators stop Libra, stop Telegram, these teams will launch something different. When an idea is in people's minds, you can not kill it, "he said.
"The best thing is that the two cross the regulatory hurdle and get going. They have a large number of users, we are happy to help them, "he continued. "In the worst case, they have closed, but these teams will do something in the blockchain space that will be a different iteration of the current thing. I do not think they will be killed forever. "