Cryptocurrency exchange Binance (BNB-USD) spun off Binance Labs, its $10 billion investment unit, earlier this year. This marks a significant development under the leadership of Binance’s new CEO, Richard Teng.
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The motive behind the spin-off remains unclear. According to Bloomberg, a spokesperson for the group chose not to comment on the shift towards Binance Labs functioning autonomously. The venture unit now operates independently from Binance, having severed certain ties with the larger group. Nevertheless, the unit will continue to utilize the Binance brand.
Binance Labs Management
Yi He assumed the role of the head of Binance Labs in August 2022, a significant position within the organization. Notably, Yi He played a key role in co-founding Binance in 2017 alongside her romantic partner, Changpeng Zhao. However, Zhao faced legal issues related to violations of U.S. anti-money-laundering regulations last year. Through Binance Labs, investments have been made in noteworthy projects such as Polygon, The Sandbox, Aptos Labs, and Sky Mavis, showcasing the company’s diverse portfolio and commitment to fostering innovation within the cryptocurrency and blockchain sectors.
Upheavals at Binance
It is important to note that Binance faces ongoing regulatory challenges. Nigeria has accused Binance of undermining its currency. Recently, Nigerian authorities detained two senior Binance employees after inviting them to the country for meetings. This week, Nigeria has requested transaction details of the top 100 Nigerian platform users over the past six months, according to CoinDesk. Additionally, Nigerian authorities are seeking to extend the detention of the two Binance employees.
Is BNB Strong?
Cryptocurrencies across the board have been rallying over the past year. Despite Binance’s woes, the Binance coin (BNB), has gained by nearly 173% over the past six months. Bitcoin (BTC-USD), the largest cryptocurrency globally, has also jumped by around 175% during this period.
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