Crypto-currency exchange Binance has offered to support Azerbaijan in its efforts to establish regulation of digital assets. The leading currency exchange platform has been active in the region this year, seeking to expand its market presence and increase its interaction with authorities.
Binance will help Azerbaijan’s monetary authority establish regulations for crypto-currencies.
The world’s largest crypto-currency exchange, Binance, is ready to help the Central Bank of Azerbaijan (CBA) develop mechanisms for regulating crypto-currencies, the company’s government relations director in the Commonwealth of Independent States (CIS) Olga Goncharova told local media.
Speaking to Azerbaijani news agency Trend News, the Binance representative revealed that regulatory issues were discussed at a recent meeting with ABC officials and said:
In practice, both globally and in a number of CIS countries, central banks are choosing to regulate crypto-currencies rather than ban them.
“The introduction of regulation will increase confidence in the industry as well as foreign direct investment in the country“, elaborated Goncharova. The executive stressed that Binance sees great potential for the crypto-currency industry in the future, noting that traders from CIS countries are showing interest in its products.
“While crypto assets have fallen this year for a variety of reasons, we see that the technology itself has held up and interest in it will only grow. The technology solves challenges facing citizens, including financial services at minimal cost and even faster“, stressed Olga Goncharova.
The largest stock exchange seeks to expand its contacts in the CIS region
Olga Goncharova also noted that in addition to Azerbaijan, the exchange has held meetings in other former Soviet republics, including Kazakhstan and Kyrgyzstan in Central Asia, and that it intends to expand the geography of these contacts.
In early October, Binance offered to support the government of Kazakhstan in the “secure development“of the country’s crypto market and agreed to cooperate with its financial authorities. It then obtained a license as a provider of crypto-currency exchange and custody services.
The global trading platform also sought to expand its presence in Eastern Europe, announcing the opening of a new office in Romania in September. The development of the crypto industry has attracted the attention of regulators, founder and CEO Changpeng Zhao commented during a visit to Bucharest.
Like others in the industry, the world’s leading crypto exchange has been impacted by negative developments in the space, the latest being the collapse of its rival, FTX. On Dec. 13, Binance recorded net outflows of up to $3 billion, and a report quoted Zhao as warning colleagues in a memo to expect tough months ahead.