Binance To Register $1 Billion Net Profit In 2018, Says CEO

Binance To Register $1 Billion Net Profit In 2018, Says CEO

Binance, which is the leading Crypto Exchange in trading volumes in the world, has announced it will be expecting a $1 billion net profit by the end of this year.

The First Half Revenues

The first half revenues for Binance have already been reported to be in the regions of $300 million, while the number of users on its platform has more than quadrupled within a five-month period.

Number Of Users Around 10 Million

With many investors having made significant losses in this year, Binance seems to have fared on well enough. The Crypto Exchange, which is the largest Crypto Exchange by trading volumes, having already registered a $300 million dollar revenues the profit margins are expected to continue to soar in the second half of the year.

The exchange’s CEO Changpeng Zhao has said that the trading platform is on its way to accumulating net profits of anywhere between $500 million and $1 billion dollars by the end of the year. He also revealed that the Crypto Exchange has a daily turnover of $1.5 billion.

The Crypto Exchange, which was only started a year ago, now boasts of 10 million users, an 8 million users’ increase from the two million it had at the beginning of the year. This data is indicative of the growth that Binance has been experiencing since it started last year, in June. Trading on Binance skyrocketed late last year, the same period that Crypto prices were soaring. In this period the Crypto Exchange was registering 11 billion in trades per day.

The Crypto Exchange’s Expansion Efforts

binance flag

Binance moved its operations from China, where it was founded, to Japan before the Crypto trading ban took effect last year. In its new headquarters in Japan, the Crypto Exchange was ordered to shut down its operations by Japan’s Financial Services Authority, as well as threatened with legal action for operating without the appropriate license. This forced it to relocate to Malta.

In its new base of operations, Binance has announced its intention to establish a fiat-Crypto exchange and support fiat transactions, including GBP and EUR trading pairs. The Island nation is considered a Crypto haven as it has set itself up to be a Crypto-friendly jurisdiction. Gibraltar and Switzerland are also among the countries with the most Crypto friendly regulations. Valletta is in the process of clarifying the regulations for it’s increasingly expanding Crypto industry.

Binance entered into a partnership with the government of Bermuda earlier this year. The partnership included its plans of establishing a global compliance center and investing in local blockchain projects and companies. The Crypto exchange has also announced that it plans to launch, in Uganda, another fiat-Crypto trading platform.

Friendly Environment For Crypto Trading

The Maltese government has been consistent in its efforts to create a favorable business environment for Crypto trading and Binance was not the only Crypto exchange that took notice. Shortly after the move, Okex, another Crypto exchange that was also founded in China, and Bitbay, also announced their interest in moving to the island nation.

July 9, 2018

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Samantha Mitchell