Binance trading volume hits April high despite CZ’s exit

Binance daily trading volume has increased to a $10 billion average, suggesting no major decline in usage.
New CEO Richard Teng suggested the company will focus on becoming a traditional financial company.
Teng stated institutions will result in crypto users growing from 5% today to 20% of the global population soon.

Binance is going through what is known in the traditional finance world as a stress test. The recent fiasco that ended up with the resignation of Changpeng Zhao has set the exchange up for an opportunity to showcase its resilience, and against market expectations, it is standing strong.

Binance shows signs of resilience despite CZ exit

Binance was expected to lose its customer base and the total volume of assets traded on the platform after the founder and former Chief Executive Officer (CEO) Changpeng Zhao (CZ) resigned last week. The crackdown of the government of the United States and the Department of Justice on Binance and CZ was unexpected bearishness.

Surprisingly, however, the crypto exchange did not witness a drawdown in the activity but instead a surge. The monthly trading volume on the exchange rose from $201 billion in October to $272.5 billion month to date. This shows that the average daily trading volume has risen from $6.4 billion to $10.2 billion.

Binance trading volume

The last time Binance observed trading volume this high on average was back in April this year, marking a seven-month high.

Binance monthly trading volume

Disproving the bearish woes, Binance is proving its dominance in the industry, validating its new CEO’s words.

New Binance CEO believes in growth

Richard Teng, the person who replaced CZ following his criminal indictment and exit from Binance, made his first public post on Monday, since his appointment last week. Teng stated that the exchange will be focused on growing the adoption of web3 and, at the same time, ensuring Binance remains responsible in its efforts.

Teng added that going forward, he would engage in conversations with global policymakers as well. In a report from Fortune, the new Binance CEO stated that the exchange will transform from an unruly technology startup into a traditional financial company. He added that Binance will adopt a traditional corporate structure, including improving transparency in the board of directors, address, and finance.

Lastly, Richard Teng also said that through these measures, Binance plans on capitalizing on an industry that he believes will grow fourfold. Currently, about 5.2% of the entire global population (420 million) people are using crypto, and Teng believes that with institutional money flowing into the space, this percentage will eventually grow to 20%.

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.