Facebook, the social media giant, has become the center of attraction of financial discussions since the news of the launch of its cryptocurrency, Libra. Being one of the most anticipated projects, Libra, on the contrary, had to face a lot of backlashes owing to its security and regulatory drawbacks.
The turmoil which Libra faced is working as a warning for others. This statement became relevant when one of the world’s largest crypto exchanges, Binance, announced that its platform had got a crucial lesson from Libra’s push back situation. The exchange authorities revealed that they have become cautious about the regulatory problems that led to Libra’s set back.
Binance co-founder, He Yi, in an interview stated that their new Venus coin project would work in collaboration with the regulating authorities from the start. The spearhead also gave his confirmation of the rumor that Venus will be centered towards non-Western countries.
Venus Project will facilitate a network that will operate on an array of stablecoins which will render to the requirements of a particular region and will work for the targeted audience.
Working in compliance with regulators unlike Libra:
Libra, Facebook’s stablecoin project, has been under constant scrutiny by the regulating authorities from all around the world. Binance renders to give thorough importance to the compliance rules and regulations from the very beginning of the project.
In an interview with Bloomberg, He Yi quoted that their venture project will only be working in those countries which abide by the regulatory requirements completely. He mentioned that Venus would primarily focus on regulatory compliance rather than on technological parameters.
Yi’s statement read, “If we want to launch Venus in a country, we’ll make sure it complies with the regulations.”
Leaving a mark in the smaller nations through Venus:
Binance emphasizes to deepen the roots of its venture project, Venus, in countries like Malta, Uganda, Singapore, and other smaller nations which will serve as the base for the project.
He Yi in his interview gave a special mention to China and its regulatory authorities. The expansion plan of Venus is expected to run parallel to the Chinese infrastructure module.
Venus is expected to face a lot of hurdles in passing through the scrutiny check of Chinese regulators. Not just Libra, Venus will have to face stiff competition from the cryptocurrency launched by China’s Central Bank, which is to be launched soon.