Binance And Its Founder CZ Pay Heavily For Challenging America’s Financial And Political Status Quo

The former CEO of BitMEX crypto exchange, Arthur Hayes, looked deeper into the recent regulatory pressure within the crypto industry.The major focus was on the events surrounding the largest global crypto exchange, Binance, and its founder, Changpeng Zhao (CZ).

Hayes noted that Binance broke America's financial and political status through its rise to success.Notably, the exchange attained its growth stance in the industry without the influence of traditional finance and political control.

This triggered the crackdown on the exchange as it faces the highest corporate fines in history.

Binance Challenged American Status Quo

In an extensive post, Hayes explored the huge penal charge of $4.3 billion against the world's leading crypto exchange, Binance.Along with the fine, the exchange's founder, CZ had admitted to violating the US laws on money laundering and terrorist financing.

In his analysis, Hayes highlighted how Binance rose to prominence within just six years of its launch in 2017.Binance grew and emerged as the world's largest crypto exchange by trading volume.

Also, the firm would rank among the top 10 traditional exchanges in terms of average daily volume, reflecting its stance on a global scale.

According to the former BitMEX CEO, American regulators are not happy that they have no absolute control over the crypto and blockchain industry.Moreover, related companies like Binance are instrumental in the massive fund transfers in the industry.

Hayes stated:

The problem for the finance and political establishment was that the intermediaries facilitating flows into and out of the industrial revolution names blockchain were not run by members of their class.

Further, Hayes acknowledged Binance's contributions in ensuring users easily own digital assets without relying on traditional players.

Hayes praised:

Never before had people been able to own a piece of an industrial revolution in under 10 minutes via desktop and mobile trading apps.

Hayes Criticizes The Regulatory Enforcement Against Binance And CZ

Additionally, Hayes criticized the huge $4.3 billion fine against Binance and the treatment of CZ. He pointed out the contrasts in regulations when it involves traditional financial giants.

Without mincing words, Hayes compared Janet Yellen's slash on CZ and Binance against Goldman Sachs and HSBC's crisis remarks. Further, he pointed out past financial crises in the US and how regulators handled them.

After the comparison, he stated that there's a need for America to lay out uniformity and impartiality in its regulatory measures and standards. Also, Hayes considered the treatment of CZ as unfair.

He noted that the US Department of Justice (DOJ) used full force while lashing out on CZ and Binance.

Hayes said:

Obviously, the treatment of CZ and Binance is absurd and only highlights the arbitrary nature of punishment at the hands of the state."

Moreover, he reflected on cryptocurrencies' huge and positive impact on traditional finance. Amid the massive fines against crypto-related firms, the crypto movement still supports individuals and institutions.

Additionally, Hayes mentioned the progress in the relationship between the US and China. He thinks the crypto bull market will record a huge boost through financial commitment from China.

The US and China are kinda sorta friends again. How does this new found love translate into stacking sats? Read "Panda Power" for my take. Bonus feature: a small riff on the #BENANCE situation.https://t.co/ohSBPPhJyz pic.twitter.com/vKBPjMZ0Ce

- Arthur Hayes (@CryptoHayes) November 28, 2023

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