Binance CEO: This must happen before Bitcoin breaks through globally

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Binance CEO This must happen before Bitcoin breaks through globally
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Binance CEO Richard Teng is convinced that Bitcoin and cryptocurrencies are the future of money and financial services. In a new interview on the podcast “The Wolf of All Streets,” Teng explains that Bitcoin and crypto need two prerequisites to take off globally.

Clear Laws and Regulations

The first thing Bitcoin needs, according to Richard Teng, is clarity regarding laws and regulations.

“First, you need more regulatory clarity. People who get in early will do so without clear rules and have no problem with that. But the general public wants to know that it’s legally secure. They want to be protected before they adopt something,” says Richard Teng.

And Teng is, of course, absolutely right. It sounds easy to say in retrospect that one would have liked to have discovered Bitcoin in 2012 – but back then, Bitcoin was a completely different asset class than it is today.

In 2012, Bitcoin’s future was significantly more uncertain than it is today. Back then, there was a feeling that governments would wage war against Bitcoin because the digital currency was seen as an attack on traditional monetary systems.

Things are different today. Today, the Bitcoin community is celebrating Donald Trump, who, as President of the United States, has decided to accept the digital currency as a reserve asset.

Institutional Capital

Teng’s second point is that more institutional capital needs to flow into the market. In his opinion, Bitcoin will remain extremely volatile as long as only retail investors’ money is involved.

Of course, institutional capital is already present in the market, and progress has been made in this regard. Nevertheless, Bitcoin is still a relatively volatile asset by comparison.

The massive price fluctuations of Bitcoin are not seen in gold, for example. In this respect, the two cannot yet be compared. Richard Teng, CEO of the major crypto exchange Binance, therefore believes that Bitcoin will lose its volatility if more institutional capital enters the market.

This would ultimately mean that more capital is invested with long-term conviction. Retail investors, on the other hand, are often less confident and more likely to sell if the price drops even a few percent.


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