Binance CEO, Changpeng Zhao (CZ) in a Twitter post today has called on relevant stakeholders in the industry to work towards the advancement of the crypto sphere and shun discrimination. According to the post, CZ established that Blockchain has no borders, thus, everyone should build a better world together.
The argument surfaced in response to a Twitter post by Kraken CEO, Jesse Powell. In his post, Powell decried how regulators ignored calls to regulate foreign firms providing crypto services to U.S users. The CEO described how regulators are finding it difficult to regulate the firms because they are “offshore.” An opinion CZ doesn’t subscribe to.
More so, Jesse Powell’s position also came in reaction to how a post by Custodia Bank CEO Caitlin Long. In her post, Long expressed disappointment at how federal regulators in the U.S has refused to give Custodia Bank regulatory approval. While registering her disappointment, the CEO spoke about how she called the attention of regulators to the business activities of a crypto lender. She divulged that regulators refused to take necessary measures against the firm before the crypto lender plunged into a financial crisis.
The revelation of Caitlin Long attracted the attention of Jesse Powell who also share the same opinion of how regulators has refused to pay attention to “red flags and obviously illegal activities.” While Jesse stressed the need for proper regulation, his claims of regulators finding it complicated to regulate “offshore firms” garnered an insightful response from CZ.
How CZ faulted Jesse Powell’s emphasis on offshore firms
In his response, the Binance boss emphasized that discussions about crypto regulation should be devoid of blame games or attention on foreign firms alone. CZ cited how the word “offshore” is narrow-minded, self-centred and unhelpful to the development of the crypto industry.
Further, Changpeng Zhao referred to the insolvency issue of FTX.US. He stated that top executive members of the cryptocurrency exchange are U.S. citizens. The Binance CEO divulged that despite their effort to lobby regulators for crypto advancement in the country, the executive members still committed fraud.
Additionally, CZ said discriminating between U.S and non-U.S crypto firms is arrogant. He added that claiming to be better than others will not aid the advancement of the crypto industry. Changpeng Zhao added that being a U.S crypto firm doesn’t stop such firm from committing fraud. In his view, the Binance CEO said stakeholders must embrace diversity and openness to grow the industry.