The world’s biggest cryptocurrency exchange, Binance, is set to hire 1,000 new employees this year as part of a major drive to address the regulatory challenges it faces.
Compliance positions will make up a sizable portion of the hiring spree, the company’s CEO Richard Teng told Bloomberg in an interview on Wednesday (Aug, 21). Teng is currently in the U.S. to meet with key agencies to boost Binance’s standing in the eyes of regulators.
In the interview, Teng, emphasized the importance of government agencies in his approach to managing Binance. The Malta headquartered exchange has reportedly spent over $200 million on compliance and this year alone.
Teng’s US trip comes amid ongoing legal action by the Securities and Exchange Commission (SEC) against Binance. In 2023 the regulatory body went as far as accusing Binance of unlawfully running an unregulated exchange and offering investors unregistered “crypto asset securities”.
In November last year, Binance came to a plea agreement with U.S. authorities, whereby the company and its former CEO, Changpeng Zhao, admitted to several charges such as offering crypto derivatives to American citizens without proper registration. Zhao agreed to pay fines exceeding a whopping $4.3 billion. However, the SEC wasn’t part of the settlement.
“I’ve been a regulator all my life,” Teng told Bloomberg. “Government agencies are important.”
Binance new hires
The exchange aims to increase its compliance staff to 700 by the end of the year, up from the current 500.
Binance say they experienced a 10% increase in law enforcement inquiries compared to last year – 63,000 in 2024 so far compared to 58,000 for the entirety of 2023. Teng also noted compliance expenditure has risen significantly in the last few years and he expected it to continue climbing.
