- The U.S. crypto regulatory scene has grown increasingly hostile in 2023.
- The growing hostility has sparked discussion of a crypto business exodus from the U.S.
- Binance’s Changpeng “CZ” Zhao nonetheless remains optimistic.
The U.S. crypto regulatory scene has grown increasingly hostile since the collapse of FTX in November 2022.
The increase in enforcement efforts and informal guidance aimed at discouraging interactions between crypto and traditional finance has sparked speculation of a coordinated effort to cut off the industry from much-needed liquidity. These efforts have led to talk of a U.S. crypto exodus, but Binance’s Changpeng “CZ” Zhao has expressed optimism that the situation will change.
Zhao Is Optimistic
In an Ask Me Anything session on Wednesday, May 17, Zhao revealed that he expects the U.S. to pivot to a more crypto-friendly stance eventually.
The Binance chief highlighted that the U.S.’s leadership in Web2 significantly influenced the country’s global dominance. Zhao argued that the U.S. would also want to become a leader in Web3.
“At some point, the U.S. is going to breed the leaders of Web3,” Zhao opined.
CZ further stressed that the U.S. had significant potential to dominate the industry, citing its tech talent, venture capital environment, and educational system.
"The US has a lot of … reserved power, but today it's a bit chaotic," he argued.
The Binance chief’s comments come as growing regulatory uncertainty in the U.S. threatens to drive the industry offshore. Several U.S.-based crypto businesses, like Coinbase and Gemini, have shifted their efforts abroad recently.
At the same time, Binance and Zhao have found themselves on the receiving end of enforcement action from the U.S. Commodities Futures Trading Commission for allegedly operating an unregistered derivatives trading platform in the U.S.
On the Flipside
Why You Should Care
The U.S. hosts the largest financial markets, leading some experts to argue that the industry needed a friendly U.S. to grow and achieve mass adoption.
Read this to learn more about the confusing state of U.S. crypto regulations:
CFTC Opposes SEC’s Crypto Position: Calls ETH and Stablecoins Commodities
Learn about the progress of the EU’s crypto regulatory framework:
Source link: https://dailycoin.com/binance-cz-optimistic-u-s-would-change-harsh-crypto-stance/
