Binance CEO Richard Teng Plans to Support Korean Startups Expanding Overseas

During a panel session moderated by Hashed co-founder and partner Ryan Kim in Seoul, South Korea, Teng discussed supporting more projects through Binance platforms like Binance Labs and potential fundraising opportunities.

Acknowledging the challenges these companies may face in understanding international markets, preferences, and legal jurisdictions, Teng emphasized Binance’s role in bridging the gap between local South Korean startups and global opportunities.

“We can help support interesting South Korean projects and bridge the gap in terms of overseas expansion,” Teng said.

Many crypto exchanges face significant regulatory hurdles from South Korea’s financial authorities and are struggling to enter the market.

Upbit and Bithumb hold over 95% of the market share, and strict regulations are preventing new exchanges from entering, Tiger Research reports.

“Retail participation is extremely high. So it’s a very important market. Every country will have its own political agenda and political considerations in terms of formulating a framework. So what’s right for Korea should be determined by the government,” Teng said.

This high level of retail participation makes South Korea a critical market for Binance, and the company is committed to working with local authorities to navigate the country’s unique regulatory landscape.

In 2023, Binance acquired a majority stake in South Korean exchange GOPAX. However, the Financial Services Commission (FSC) decided to block the deal and ordered Binance to reduce its holdings from around 70% to 10%. Cloud services provider Megazone has come forward to buy out Binance’s majority stake in GOPAX.

Shifting focus to the broader Asia Pacific market, Tang has seen significant changes in crypto in countries like Japan, Singapore, and Hong Kong. He noted how these markets have evolved over the years, with each at different stages of adopting crypto-friendly policies.

Tang notes that in the early days, a lot of crypto exchanges were heading to Japan, but that has changed over time.

“Then it kind of shifted to Singapore. When Singapore raised the flag for crypto in 2020. It shifted to Hong Kong earlier this year. So, there are different countries in the Asia Pacific region that are looking at how to become very crypto-friendly in general. And Korea is extremely active, but we see pockets of very interesting developments, and that is being replicated,” Teng said.

Binance recently registered as a Reporting Entity with the Financial Intelligence Unit of India (FIU-IND), and Teng emphasized the potential for growth in the Indian market and the importance of working closely with local stakeholders.

“We have received 19 regulatory approvals around the world and in India just recently. So now we are registered with the FIU in India, which allows us to regulate the exchange on a global scale,” Teng said.

Commenting on the situation in the Middle East, Teng pointed to innovative regulatory approaches in countries like Abu Dhabi, Bahrain, and Dubai. He praised the creation of the Virtual Asset Regulatory Authority (Vara) in Dubai, which is exclusively focused on overseeing the crypto industry.

“Having a dedicated regulator that only regulates cryptocurrency is a very, very interesting concept,” Teng said, suggesting that such targeted oversight could become a model for other regions.