Recently Bitcoin’s trading volume has soared, reaching an all-time high of $14 billion in June 2021. As a result, one of the leading exchange platforms in the world, Binance, is now taking up the mantle of setting regulatory standards for the entire market, which is something that has traditionally been done by firms such as FTX. The push by Binance will further the development of a stable and secure crypto trading ecosystem and could become an integral part of the industry’s infrastructure.
FTX, one of the biggest exchanges in the world, has been at the forefront of setting rules for the global crypto market since its launch in 2019. It is one of the first and largest platforms to have rules in place for users, and its efforts have been lauded by the community.
In an effort to end the regulatory and regulatory standard anomalies that exist between different countries within the market, Binance is now looking to replace the efforts made by FTX. The platform is so far piloting a program through its incubator Binance Launchpool, called ‘Malta Digital Innovation Authority’. This program, developed in partnership with Malta’s digital currency and innovation authority, will allow users to self-certify their operations and business with the required regulatory standards.
The application process will involve a thorough review of the user’s operations and overall practices, as well as an additional layer of enhanced security checks, including biometric technology. This will ensure user safety and provide customers with the peace of mind that they are trading in a safe and secure environment.
Not only will this streamline the processes and provide a sense of uniformity across different markets, but it will also open up new opportunities for active participants that are confident in their abilities.
The program is still in its early stages, but if Binance is successful in simplifying the regulatory process and providing a simple, uniform system that everyone can trust, we could see a surge in activity on the platform and better access to a wide range of trading opportunities. It could also result in higher liquidity and more development of product offerings that meet the demands of investors.
In a nutshell, Binance’s initiative is an ambitious one, and if successful, it could become an integral part of the developing digital currency markets. It’s a giant step forward for Binance, and one that will be watched from both sides of the fence, from the regulators and from the investors. We will have to wait and see the outcome of the endeavor, but it looks like Binance is making headway with replacing FTX’s efforts in fronting cryptocurrency regulation.
