Binance CEO Identifies Favorable Countries for Bitcoin Business

Crypto entrepreneurs should consider relocating to a country with favorable regulation of the bitcoin industry. This was stated by Binance CEO Changpeng Zhao during a talk on Twitter Spaces.

He names Dubai (UAE), Bahrain, and France among those jurisdictions.

“If you take your project seriously, relocating to a new country could be a decent move,” said Zhao.

The advisory from the Binance CEO came amid tightening regulation of the industry by US authorities. In particular, it concerns the New York State Department of Financial Services investigation into the infrastructure company Paxos. Subsequently, the regulator ordered the firm to discontinue the issuance of the Binance USD (BUSD) stablecoin. The SEC also announced its readiness to sue Paxos.

Changpeng Zhao pointed to the uncertainty and the gray area in the industry, urging active engagement with regulators.

“Most regulators, at least, say they are open to dialogue, but I am not sure that all entrepreneurs have such access, especially when it comes to startups without a track record,” said the Binance CEO.

Zhao added that newcomers to the industry will certainly need legal counsel to “not cross any red lines” laid down by regulators.

Hayden Adams, founder of Uniswap, also joined in the criticism.

Embarrassing to watch the United States fumble the ball so hard on crypto

The incentive for innovators and businesses is to go abroad

It's like if 30 years ago the government saw the Internet and said “no, don’t do that here”

— hayden.eth 🦄 (@haydenzadams) February 13, 2023

“It is embarrassing to watch the United States' efforts in the crypto sphere. Innovative companies are given additional incentive to move abroad. It’s like if 30 years ago the government saw the Internet and said ‘no, don’t let it develop here’,” he wrote.

Earlier in February, the SEC opened an investigation into possible violations of securities laws by the cryptocurrency platform Kraken. As part of a settlement, the exchange agreed to shut down its staking program and pay $30 million fine.