Binance, one of the most popular crypto exchanges in the crypto-verse which also has many subsidiaries including Binance Academy (a blockchain and crypto-centred educational portal) is all set to open its first office in Shanghai, China. Changpeng Zhao (CZ), the CEO of the exchange confirmed the same on Twitter.
In other news, @BinanceAcademy reached a milestone agreement with the local government and will setup an office in Shanghai. The official signing ceremony just happened today. 👏🔶👏https://t.co/bgulAFnaA5 pic.twitter.com/Kjctjfu20Z
— CZ Binance 🔶🔶🔶 (@cz_binance) March 27, 2020
This can be seen as a major milestone for Binance given there have been many rumors of them unofficially running an office and even some reports of them being investigated by the authorities (which the exchange has denied time and again). CZ has been trying to strike balance with the authorities for quite some time now, but given China’s stance on crypto exchanges forced Binance to shift their operating base outside the country.
The Begining of a New Chapter for Binance
According to the local news report, the major milestone would see Binance Chain’s core team working with Lingang Xinyefang and Lingang Innovation Management College in order to set up a research institute in Shanghai province. The focus of the research institute would be to develop various use cases for blockchain technology, for which China seems to be really bullish.
Today marked the official signing ceremony where the local authority seal of approval took place and the possession of the office was handed over to Binance. While CZ has often propagated that in modern times physical headquarters and office does not make much of a difference given the technology has made it possible to function without the need of one. However, given China’s notorious and passive stance towards crypto service providers despite being bullish on blockchain make this event indeed historical for Binance.
Does Binance’s Office Approval Suggest China’s Softening Stance on Crypto?
The answer is a hard NO. China has been tip-toeing about their approval for crypto for quite some time, but it seems it would be quite difficult to see China’s softening regulatory stance on cryptocurrency. This has been evident on many occasions in the past, be it them calling Bitcoin the best use case of blockchain, in the wake of PM’s call for accelerated blockchain adoption, but the very next day they took a U-turn and said that Bitcoin still has many flaws which would be overcome by their national CBDC.
Very recently they have blasted cryptocurrencies for being volatile and how it could never become an instrument of finance. Even the recent Binance approval for research is strictly for blockchain purposes only. While there is still no confirmation on the launch date of national digital currency, which many speculated to be in line for launch since October 2019.