In a recent interview with CNBC, Binance CEO Richard Teng revealed that the cryptocurrency exchange experienced a 40% increase in institutional and corporate investors this year. Speaking at the Token2049 conference in Singapore, Teng emphasized that the influx of big money into the crypto market is just beginning.
Institutional Interest In Crypto Just The Beginning
Teng explained that institutional allocations to crypto are just the tip of the iceberg, claiming that these numbers are just the beginning as these institutions are still “doing their due diligence.” Still, more hedge funds and corporations are expected to enter the crypto arena.
Teng highlighted that Binance has seen a substantial uptick in institutional and corporate investors, with a 40% increase in onboarding in this category throughout the year.
This showcases the bullish attitude of large financial entities towards cryptocurrencies like Bitcoin and Ethereum. Despite facing a US probe and a $4.3 billion settlement, Binance continues to attract significant interest from major investors.
Teng said Binance’s pivotal change in the last months has been transitioning from a founder-led company to one governed by a board of seven directors. This new structure is more in line with regulatory expectations.
Former CEO Changpeng Zhao (CZ) stepped down last year as part of the settlement but remains a major shareholder. CZ is expected to be released from custody in just 10 days after serving his 4-month sentence as part of his deal with US regulators.
Binance CEO Predicts Imminent Bitcoin Price Surge
According to the exchange’s CEO, the approval of the first exchange-traded funds (ETFs) for spot Bitcoin prices in the US earlier this year, followed by similar approvals for Ethereum, has provided much-needed regulatory clarity for the broader market. Teng believes this will encourage mainstream adoption of cryptocurrencies.
Teng also attributed Bitcoin’s record high of over $70,000 in March of this year to the increasing involvement of major institutional investors such as BlackRock, the world’s largest asset manager.
Teng also noted as key the changing perceptions of influential figures in the financial world, such as BlackRock CEO Larry Fink, who now refers to Bitcoin as “digital gold” after expressing much skepticism about the entire industry.
While Teng refrained from making specific price predictions, he noted that cryptocurrency prices tend to rise about 160 days after Bitcoin undergoes its Halving event, the last of which occurred in April.
According to Teng, the market is eight days away from reaching this 160-day mark, suggesting potential upside for the remainder of the year, in line with many analysts’ predictions.
At the time of writing, the exchange’s native token, Binance Coin (BNB), is trading at $566, up nearly 5% in the 24-hour time frame, following in BTC’s footsteps after the Federal Reserve’s interest rate cut on Wednesday sparked notable bullish sentiment in the market.
Featured image from DALL-E, chart from TradingView.com