Binance CEO – Bitcoin Market Healthy
The recent price dip of Bitcoin has discouraged crypto enthusiasts who hoped for a price revival in the world’s largest cryptocurrency. The holders of Bitcoin have been waiting for Bitcoin prices to regain the $20,000 level reached in December, 2017. Stuck in the downward trend for much of 2018, Bitcoin is not showing any signs of price increase. This is especially true after the digital coin hit the lowest level of the year yesterday. It has slid by almost 70% from its peak. Despite such gloomy scenario, the Chief Executive of Binance seems confident of another bull run for BTC. According to Changpeng Zhao, the “Bitcoin Bull Run” will happen sooner or later. He stated that he is not aware of what will trigger the run, but is certain that it will happen.
Zhao (aka CZ) stated that although the cryptocurrency tradinghas come down by almost 90% since January, he believes that the wider market is still healthy. Binance is the largest cryptocurrency exchange by volume in the world.
According to CZ, “Compared to January [of 2018], we are probably down 90 percent. So we only have one-tenth of the trading volume compared to what we had in January. But, compared to like a year or two years ago, we’re still trading at huge volumes. Business is still okay, we are still profitable, and we are still a very healthy business.” CZ also added that his exchange is witnessing a steady increase in the number of active users as well as the number of deposits in Bitcoin made this year.
$500 Million Trading Volume
Binance raised around $15 million in their own token BNB via an Initial Coin Offering (ICO). At present, Binance has a daily trading volume of around $500 million which is more than that of Coinbase, the topmost cryptocurrency exchange of the U.S. With a token market cap of approximately $1 billion, Binance is allegedly the only digital currency exchange with no hacking incidence. Apart from launching a research arm, Binance also started a venture investing department, an education portal, and a charity foundation in 2018.
The cryptocurrency exchange recently revealed that it wants to welcome institutional investors. the hope is that this will lay down a foundation for capital infusion. To attract institutional investors, Binance launched a research arm that will focus on institutional-grade reporting. The research arm will employ its efforts towards improving the quality of the available information. It may also serve as a boost to transparency in the virtual currency markets.