Bitrabo Editorial
Binance, the world’s largest cryptocurrency exchange, plans to hire 1,000 new employees this year to bolster its compliance efforts, particularly in response to increased regulatory scrutiny, especially from the United States.
This hiring initiative aims to dedicate at least 20% of the new positions to compliance roles to strengthen the company’s compliance measures.
Binance’s Focus on Compliance Spending
With annual compliance spending exceeding $200 million, a significant increase from previous years, Binance is prioritizing compliance to ensure regulatory adherence.
Richard Teng, Binance’s CEO, emphasized the importance of compliance and announced plans to expand the compliance workforce from 500 to 700 employees by the end of 2024. This recruitment drive is part of a broader strategy to enhance operational efficiency and includes roles in customer service.
Following a recent plea deal with the US Justice Department and a hefty penalty of $4.3 billion, Binance is enhancing its compliance structure to meet regulatory requirements.
Global Impact of Binance’s Efforts
Binance’s efforts extend beyond recruitment to collaborating with law enforcement agencies to combat crypto-related fraud. The company’s cooperation with Macau’s Judiciary Police in recovering over $73 million in stolen funds underscores its commitment to user protection and platform integrity.
As the cryptocurrency exchange landscape evolves rapidly, other firms like Tether are also increasing compliance-focused hiring, signaling a sector-wide shift towards regulatory compliance amid heightened global regulatory scrutiny.
Ongoing Legal Challenges
Despite proactive measures, Binance faces legal challenges, including charges filed by the SEC against the exchange and former CEO Changpeng Zhao for alleged sale of unregistered securities. Binance refutes these allegations and remains resilient in navigating regulatory complexities.
Featured image from FinanceFeeds, chart from TradingView