Binance has assembled a group of crypto industry players and experts to ensure that potential risks that typically discourage others from experimenting with the assets can be timely monitored and addressed. With this initiative, Binance CEO Changpeng Zhao aims to debunk myths and issues surrounding the crypto industry. The crypto exchange will not lead this consortium but would rather give shares to all members and keep operations decentralized.
Crypto-related individual projects, exchanges as well as blockchain analysis companies are part of this group, which will act as a “self-regulatory body” in the field of digital assets.
“The formation of the group is also intended to ensure that there is a mechanism in place to flag deficiencies and bad behavior in the industry and avoid larger contagion problems,” a CryptoPotato report said quoted a person familiar with the matter as I said.
The members of this group will have open discussions and find solutions to make the industry safer and more accessible to potential investors.
After FTX crypto exchange succumbing to a liquidity crisis last year, it rocked the global crypto industry.
After the incident binance had said it was so commit US$1 billion (nearly Rs.8,200 crore) to set up an Industry Recovery Initiative (IRI) that would help digital asset businesses in need.
Additionally, the crypto industry has been targeted by hackers and scammers too many times, which has put investors off.
Citing a Chainalysis report, forbes had said over $3 billion (around Rs. 31,080 crore) was stolen in 125 hacks last year.
Against the backdrop of these hacks, a large number of crypto investors and holders have moved their assets to offline storage.
The exchange will also take place in January of this year started a cold crypto asset store called “Binance Mirror” for institutional investors.
