Binance Helps Central Bank of Azerbaijan Draft Crypto Rules

Binance helped design the crypto law in Azerbaijan. (Photo; Doc. CoinCodex)

JAKARTA – A crypto trading company founded by Changpeng Zhao (CZ), Binance, is reportedly assisting the financial authority of Azerbaijan, the Central Bank of Azerbaijan (CBA) in drafting domestic crypto regulations.

Binance is the world's largest crypto exchange by trading volume. Binance is actively working with the government of Azerbaijan on regulation of crypto assets. This was conveyed by the company's Director of Government Relations in the Commonwealth of Independent States (CIS), Olga Goncharova, as reported by local media, Trend News Agency.

Commenting on the support for the government of Azerbaijan, Binance side openly gives full support to CBA. “In practice, both around the world and in a number of CIS countries, central banks prefer to regulate cryptocurrencies rather than ban them,” Binance said.

Furthermore, Goncharova emphasized that the regulation has the potential to increase confidence in the crypto industry and invite foreign investment through the Azerbaijani government.

"Introducing regulation will increase confidence in the industry as well as foreign direct investment in the country," said Goncharova.

The executive emphasized that Binance sees great potential for the crypto industry in the future, noting that traders in CIS countries are showing interest in its products.

"Although crypto assets have declined this year for various reasons, we see that the technology itself has withstood and interest in it will only grow. These technologies solve the challenges facing citizens, including financial services at minimal cost and even faster," added Goncharova. .com News.

At the same time, Goncharova explained that Binance also collaborated with a number of other countries including Kazakhstan and Kyrgyzstan. This collaboration is intended to expand Binance's reach and support regarding the preparation of regulations in various countries.

In early October, Binance offered to support the Kazakh government in the "secure development" of the country's crypto market and agreed to cooperate with its financial authorities. Binance's positive move ended up having a positive impact on the company so that Binance got a license as a crypto exchange provider there.

Previously, Binance did intend to expand its wings in the Eastern European region. This was marked by the opening of a new office in Romania last September.

However, the crypto industry is being hit hard by the bankruptcy of one of the leading crypto exchange companies FTX. The crypto exchange founded by Sam Bankman-Fried (SBF) has declared bankruptcy on November 11. Then, in early December, SBF was officially arrested by the Bahamas island authorities on charges of fraud and financial crimes.