Binance CEO Reveals The Exchange Reinvests 25% Of Its Profits In Investments Every Year
Binance CEO, Changpeng Zhao, has revealed that they reinvest 25% of their profits to Investment opportunities as they intend to grow their portfolio. The firm has since made several high profile acquisitions especially on local crypto exchanges to allow them to offer trading support in local currencies.
According to stats, Binance crypto exchange spends an equivalent to a quarter of its profits to various investments. Binance CEO, Changpeng Zhao, popularly referred to as CZ, said during an interview with South China Morning Post; their intention is to grow into more than just a trading company. Given these ambitions, Binance netted in close to $180 million in profits for the last quarter of 2019,
“We usually spend about a quarter of our profit on investment opportunities every year.”
Binance Recent Acquisitions
Notably, Binance has zeroed in on fiat onramps making inroads already. They have extended support for crypto purchases enabling customers in over 50 foreign territories. The firm has specifically prioritized exchanges that already have pre-existing relationships with local banks which will allow them to offer trades in the local currencies.
This was particularly evident when they acquired WazirX, an Indian based crypto exchange, and facilitated the launch of a fiat onramp that accepted rupees. The strategic move was made shortly after the Indian Supreme court lifted a ban that barred bars from extending support to crypto firms.
On April 2nd they were also involved in a rumored $400 million mega deal when they acquired Coin Market Cap, arguably one of the most prominent crypto data websites, a move that was lauded by several high profile industry experts.
High Flying Binance Futures
Binance also recently launched a futures trading platform late last year which has gotten a massive response from the market, catapulting Binance Futures to second in trading volumes, just after BitMEX who have been in play for way longer than Binance. This was impressive as they landed on the number 2 spot just a month after its launch.
“Binance Futures has already recorded higher volumes than the Binance spot market, less than one month after its launch.”
Published at Mon, 13 Apr 2020 18:28:45 +0000 Binance CEO Reveals The Exchange Reinvests 25% Of Its Profits In Investments Every Year