Will Binance’s foray into France help exchange scale new heights?

When Binance was established back in 2017, no one anticipated that it could achieve so many targets. By 2018, it was one of the leading crypto exchanges in the world. Since then, it has introduced numerous innovations from the Binance automated trading platform to expand its reach in different countries. Supporting fintech organisations, new initiatives, as well as developing machine learning have been extremely beneficial for the exchange.

However, the world’s biggest exchange has been facing regulatory challenges from various countries, which has limited geographic reach.

Still, Binance grabbed attention by announcing a crypto initiative to be carried out in France, which may bolster the growing fintech scene, ultimately providing numerous opportunities to the country and the exchange itself.

Binance to Seek Support of France

Binance, one of the largest crypto exchanges in the world, wants to expand its presence in France. In order to do so, it has launched an initiative known as Objective Moon. It has decided to support the initiative with EU100 million to bolster the crypto and the blockchain community in the country.

France-based crypto firm, Ledger, and online education provider, OpenClassroom, are also involved in the Objective Moon program. They will help to develop educational programs and new initiatives.

As per media reports, Binance’s French GM David Princay highlighted that Objective Moon will develop a new ecosystem, and with the help of Binance, achieving the goal will be easy. In addition to opening a new office, he emphasised the importance of hiring new talent that will contribute to the growing crypto community.

The original idea was announced back in November 2021 and Binance is expected to establish a new office to support different start-ups and programs in France.

Regulatory Problems

In recent years, Binance faced a lot of regulatory challenges in various countries. The FCA of the United Kingdom, for example, banned the exchange, while the Commodity Futures Trading Commission in the United States launched an investigation. In Singapore, Binance also shut down its trading platform and put an end to trading digital stock tokens.

Binance is originally from China, but the company is always looking forward to the decentralization process. It does not pin itself to one location. Changpeng Zhao, founder and CEO of Binance, has also given his approval for working with different regulators.

The emergence of Binance in China was not left unnoticed by France’s central bank, which declared that the exchange must meet necessary anti-money laundering requirements to operate in the country.

French digital minister Cedric O pointed out that Objective Moon will be a good sign for innovations and implementing different features in the country. Regulating crypto-related activities is always difficult, but in Europe, numerous regulators try to tackle the following issue.

Binance - Pros and Cons

Changpeng Zhao’s professional path was long but successful. At the beginning of his career, he was developing software for large companies on Wall Street. In 2005, he left a promising position but did not change his profile. He later founded a company called Fusion Systems, which is known for developing high-frequency trading systems for brokers.

For a couple of years into its existence, the cryptocurrency exchange managed to become one of the most popular exchanges in the world. It is appreciated not only for a large selection of affordable currency cards and low commissions but also for neumerous additional services.

The founder of Binance really did everything to create a strong and competitive platform. Let's take a look at some of the main benefits.

• Phishing attacks were noticed, which were handled by the technical service team of the exchange.
• To prevent future hacks, the company tries not to disclose the location of its servers.
• Binance uses innovative commission systems. This process is based on the “maker-taker” principle. The commission fee is 0.1%. Binance users can pay off part of the commission with BNB tokens.
• To keep money safe, Binance uses cold wallets.
• The resource has a large selection of coins. There are at least 200 of them.
• Binance technical support is provided at a high level. Every second it is possible to process at least a thousand different transactions.

Speaking about pros of the exchange, it is impossible not to talk about its cons. One can only trade with cryptocurrencies on Binance. There is no fiat money. Also, in order to withdraw a large amount, you will have to go through the verification process. Although this requirement is mandatory for all online trading platforms, it can also be seen as a plus.

Author Bio: Mariam Sisauri has been in marketing and advertising since 2011. After leading marketing efforts of one of the largest financial brokerages and an innovative b2b fintech company, she decided to go solo and is now focusing on consulting financial companies on how to drive the best results from their digital marketing efforts. Next to this, Mrs. Sisauri has been showing interest in the recent regulation of the most competitive industries: finance and iGaming.