Richard Teng thinks Donald Trump’s government has been “fantastic” for the cryptocurrency industry. The positive sentiment comes amid a surge in cryptocurrency market capitalization since the election results were confirmed.
The CEO of Binance, the cryptocurrency exchange, has welcomed the recent change in the White House, describing Trump as a “very pro-crypto, pro-AI president”. This marks a significant shift in the regulatory landscape that has historically been challenging for cryptocurrency businesses operating in the United States.
“It’s an extremely different environment that we’re operating in,” he told CNBC. The interview took place during a major blockchain conference where industry leaders gathered to discuss the potential implications of the new administration’s policies on digital assets.
Teng was appointed Binance’s CEO in November 2023, and he’s seen a shift since Trump’s return to the White House. His leadership at Binance follows a period of regulatory challenges for the exchange, which faced scrutiny from multiple global regulators over compliance issues.
“We’ve benefited from this shift,” the CEO said. Trading volumes across major exchanges have reportedly increased in the weeks following the election, suggesting renewed investor confidence in the sector.
Teng is convinced that Trump‘s influence will have a long-term benefit for the cryptocurrency industry. Analysts point to Trump’s campaign promises regarding cryptocurrency, which included establishing a strategic bitcoin reserve and appointing crypto-friendly officials to key regulatory positions.
“We went from four years of Operation Choke Point 2.0 to now – you have a very pro-crypto, pro-AI president. We have benefited from all these pro-crypto policies,” the Binance boss explained. Operation Choke Point 2.0 refers to what some in the industry perceived as restrictive banking policies that limited cryptocurrency companies’ access to traditional financial services.
Binance has experienced a marked expansion over the last year, and Teng is bullish about the future of the industry. The exchange has seen its user base grow despite facing regulatory challenges in several jurisdictions including the European Union and parts of Asia.
“We have received a lot of approaches from different governments around the world,” he said. These approaches reportedly include discussions about establishing regulatory frameworks that balance innovation with consumer protection, a key concern for many jurisdictions.
Earlier this year, Trump announced plans to establish official government cryptocurrency reserves in the US. This announcement represented a dramatic shift from previous administrations’ approaches to digital assets and signaled potential mainstream legitimacy for cryptocurrencies as a strategic asset class.
The decision subsequently received backing from Russ Mould, an investment director at AJ Bell, who suggested that it was a logical move for the US government. Financial experts have noted that such a move could position the United States competitively in the evolving global financial landscape where digital assets are gaining prominence.
“This approach makes much more sense than buying the assets,” Mould said. “It would surely be bizarre for the US to sell dollars to buy crypto, when the dollar is the globe’s reserve currency and therefore a source of enormous influence.” His comments reflect a pragmatic view that acknowledges both the innovative potential of cryptocurrencies and the established role of the US dollar in international finance.
Market analysts have observed that institutional investment in cryptocurrency has increased significantly since the election, with several major financial institutions announcing plans to expand their digital asset offerings. This trend suggests growing confidence in the regulatory clarity that many believe will emerge under the new administration.
The price of Bitcoin, the largest cryptocurrency by market capitalization, has experienced substantial volatility but has maintained an upward trajectory since the election. Some industry observers attribute this performance directly to expectations of favorable policies from the Trump administration.
Regulatory experts caution that while the administration’s stance appears positive for the industry, meaningful policy implementation will require collaboration with Congress and various regulatory agencies. The process of establishing comprehensive cryptocurrency regulation could still face challenges despite executive branch support.
Global implications of the US policy shift are also becoming apparent, with several countries reportedly accelerating their own cryptocurrency regulatory frameworks in response to the changing US position. This suggests a potential global realignment in approaches to digital asset regulation, with the US potentially taking a leadership role in defining standards.
