FTX Raises $400 Million in Series C Fundraise, Firm Reaches $32 Billion Valuation

Following the company’s subsidiary FTX US raising funds in its first Series A financing round, parent company FTX Trading Ltd. has announced it has secured $400 million in a Series C fundraise. The crypto company’s latest financing round brings the firm’s post-money valuation to $32 billion.

FTX Series C Fundraise Brings Firm’s Valuation to $32 Billion

FTX Trading Ltd. has raised $400 million in a Series C fundraising round according to an announcement on Monday. The fundraise follows the firm’s Series B at the end of July last year and Series B-1 toward the end of October 2021. The latest financing saw participation from Temasek, Paradigm, Ontario Teachers’ Pension Plan Board, Steadview Capital, Tiger Global, Insight Partners, NEA, IVP, Softbank Vision Fund 2, and Lightspeed Venture Partners.

“Our Series C financing round represents a milestone achievement for FTX, as we raised close to $2 billion in six months. This round will support our continued mission of delivering innovative products and services to the marketplace as well as expanding our global reach with additional licenses around the world,” FTX CEO Sam Bankman-Fried said in a statement sent to Bitcoin.com News. Bankman-Fried added:

“With the ongoing support from our dedicated investors and userbase, FTX will look to continue interacting with regulators to facilitate access to digital assets in a safe and compliant manner. We look forward to working alongside our investors to achieve our mission and continue our tremendous growth throughout 2022 and beyond.”

The capital fundraise brings the crypto company’s valuation to $32 billion which makes it one of the largest digital asset firms in the world in terms of capitalization. Additionally, the company’s exchange based in the United States, FTX US, raised $400 million in its first capital fundraise.

FTX says the company has seen immense growth since its Series B-1 fundraise and notes that the company’s “user base growing 60% and its average daily trading volume increased 40%, reaching approximately $14 billion in daily volume.” In October, the firm’s crypto trading volume propelled the exchange to becoming the third-largest cryptocurrency exchange worldwide.

What do you think about FTX Trading Ltd. raising $400 million in a Series C fundraise? Let us know what you think about this subject in the comments section below.

Crypto Exchange Binance Is Making 'Substantial Changes' to Become 'Fully Licensed and Fully Compliant' in UK

Cryptocurrency exchange Binance has unveiled its plan to become a “fully licensed and fully compliant” exchange in order to serve users in the U.K. The crypto exchange is reportedly “making a number of very substantial changes” in the way it operates in order to comply with the country’s regulator, the Financial Conduct Authority (FCA).

Binance Plans to Launch a Fully Licensed Crypto Exchange in the UK

Binance is working to become a fully licensed and fully compliant cryptocurrency exchange in order to launch in the U.K. where it recently ran into trouble with the Financial Conduct Authority (FCA).

The exchange’s CEO, Changpeng Zhao (CZ), said in an interview with The Telegraph that Binance will reapply for a license with the FCA. He believes that his exchange’s relationship with the British regulator has improved. He told the news outlet:

We’re fully re-engaged there … We’re making a number of very substantial changes in organizational structures, product offerings, our internal processes, and the way we work with regulators.

The U.K. Financial Conduct Authority issued a consumer warning on Binance in June stating that no entity “in the Binance Group holds any form of U.K. authorization, registration or license to conduct regulated activity in the U.K.” In August, the FCA said that Binance was no longer in violation of its rules but noted that the company has not applied for a license to operate a crypto exchange.

“We want to continue to establish a presence in the U.K. and serve U.K. users in a fully licensed and fully compliant manner,” Zhao emphasized, adding that Binance hopes to become a registered crypto asset firm in six to 18 months.

Following the warning by the FCA, several major banks in the U.K. began restricting payments to Binance, including Barclays, HSBC, Natwest, and Santander.

Besides the FCA, a number of other regulators have issued warnings of various kinds about Binance, including regulators in the U.S., South Africa, Singapore, Australia, Norway, Netherlands, Hong Kong, Germany, Italy, India, Malaysia, and Lithuania. In August, Binance said it was making regulatory compliance its top priority.

Zhao further shared with the publication that when regulators asked Binance “a very simple question: ‘Where’s your headquarters?’ and our response was that we have no headquarters, that we’re a decentralized organization, they didn’t know how to work with us.” The CEO concluded:

We understand that now. So now we’re in the process of setting up real offices, legal entities, a proper board, proper governance structures in most places, including the U.K.

What do you think about Binance launching in the U.K. after regulatory trouble with the FCA? Let us know in the comments section below.

Binance Developing Crypto Exchange in Indonesia

Binance has formed a joint venture with a consortium led by Telkom Indonesia’s $830-million venture capital arm. Binance aims “to expand the blockchain ecosystem in Indonesia with the development of a new Indonesian-based digital asset exchange.”

Binance Building Cryptocurrency Exchange in Indonesia

Blockchain and cryptocurrency infrastructure provider Binance announced Wednesday that it has established a joint venture with a consortium led by Telkom Indonesia’s $830-million venture capital arm, MDI Ventures (MDI). Telkom Indonesia is the country’s largest telecoms company.

The aim of the joint venture is “to expand the blockchain ecosystem in Indonesia with the development of a new Indonesian-based digital asset exchange,” the announcement details, elaborating:

Binance will provide world-class asset management infrastructure and technology to support the development of the new exchange platform.

“Our ambition at Binance is to grow the blockchain and cryptocurrency ecosystem globally, and this initiative in Indonesia is a significant step in that direction,” Binance CEO Changpeng Zhao (CZ) commented.

Zhao revealed last week, “We’re making a number of very substantial changes in organizational structures, product offerings, our internal processes, and the way we work with regulators.” He detailed specifically that his company is “in the process of setting up real offices, legal entities, a proper board, proper governance structures in most places, including the U.K.”

This week, Binance announced that it is shutting down its crypto exchange in Singapore. “Binance made a sizable investment into regulated exchange HGX last week. This investment made our own application somewhat redundant. We will continue to work through our partners to grow the crypto industry in Singapore,” explained Zhao.

The Indonesian government has previously indicated that it will not impose an outright ban on cryptocurrency as China did. Crypto assets are allowed to trade alongside commodity futures in Indonesia but cannot be used as a currency. The government is also pushing to set up a crypto exchange and Bank Indonesia has been exploring a central bank digital currency (CBDC).

What do you think about Binance helping to build a cryptocurrency exchange in Indonesia? Let us know in the comments section below

Binance to Launch New Cryptocurrency Exchange in Thailand After Thai SEC Filed Criminal Complaint

Crypto exchange Binance is launching a new exchange in Thailand after the country’s Securities and Exchange Commission (SEC) filed a complaint against the company for operating without a license. Binance has now signed an agreement with Gulf Energy Development, a Thai public company, to establish a crypto exchange in Thailand.

Binance and Gulf Energy to Establish a Crypto Exchange in Thailand

Gulf Energy Development, a Thai public company, notified the Stock Exchange of Thailand (SET) Monday that its wholly owned subsidiary Gulf Innova has entered into a Memorandum of Understanding with Binance Group “to jointly study avenues for the development of digital asset exchange and related business in Thailand.”

The company added that it “foresees rapid growth in digital infrastructure in Thailand as the economy increasingly becomes driven by innovation and technology, with digital assets and related technology playing a prominent role in improving efficiency of financial infrastructure in the country to meet the increasing demand of Thai people.”

Gulf Energy detailed:

As such, the company’s partnership with Binance will help Thailand advance its development of digital assets and blockchain infrastructure.

Binance recently got into trouble with the Thai SEC. The securities watchdog announced in July last year that it “has filed a criminal complaint against Binance” with the Economic Crime Suppression Division of the Royal Thai Police (ECD).

According to the SEC, Binance operated a crypto exchange business without a license, therefore the company is “liable to criminal sanction.”

What do you think about Binance launching a crypto exchange in Thailand with the help of a regulated company? Let us know in the comments section below.

Crypto Exchange Binance Restricts 281 Nigerian Accounts — Some Requested by International Law Enforcement

Cryptocurrency exchange Binance has restricted 281 Nigerian user accounts. Citing user security and fraud prevention, CEO Changpeng Zhao explained that “approximately 38% of these cases [are] restricted at the request of international law enforcement.”

281 Nigerian Accounts Restricted by Binance, CEO Says 79 Cases Have Been Resolved

Cryptocurrency exchange Binance has sent a letter to its Nigerian users. In the letter, Binance CEO Changpeng Zhao (CZ) apologized for the inconvenience caused by delays in resolving customer support requests.

Noting that “User security” remains his exchange’s top priority, Zhao detailed: “Protection mechanisms such as KYC, anti-money laundering measures, collaboration with law enforcement, and account restrictions are in place to ensure our community remains protected and that fraudulent activity is prevented. This is a global approach applied in every country.” The CEO added:

Some 281 Nigerian accounts have been affected by these personal account restrictions with approximately 38% of these cases restricted at the request of international law enforcement.

Zhao proceeded to highlight what Binance is doing to rebuild trust in the Nigerian community.

Firstly, he said that Binance is “Ensuring speedy resolutions of ongoing user cases tied to account restrictions,” noting:

Currently, we have resolved 79 cases and continue to work through others. All non-law enforcement-related cases will be resolved within two weeks.

Another area that is being addressed is “Devoting more customer service personnel to the region.” Zhao stressed, “We will dedicate more CS and risk agents with a great understanding of the Nigerian market.”

Recently, some Nigerian users of Binance launched a campaign boycotting the platform for freezing their accounts. “At times, we proactively restrict accounts to protect users’ funds. Other times, we have to restrict accounts at the request of law enforcement. But never will we restrict accounts without good reason,” Binance said last week.

The cryptocurrency exchange has been facing scrutiny in a number of jurisdictions worldwide, including Pakistan, Canada, the U.S., U.K., South Africa, Australia, Norway, Netherlands, Hong Kong, Germany, Italy, India, Malaysia, Singapore, Turkey, and Lithuania.

In August, Binance said it is making regulatory compliance a top priority. The company is moving from a decentralized business model to a centralized one, as it pivots from a technology company to a financial services company.

What do you think about Binance restricting 281 Nigerian accounts? Let us know in the comments section below.