Even with no physical headquarters and few regulations affecting their business practices, Binance could be worth three times more than Coinbase if it went public today.
According to a note of November 11, Wall Street Journal, Former executives of the world’s largest cryptocurrency exchange estimated that Binance could be worth up to $ 300 billion as a publicly traded company, taking into account your current trading volume and transaction fees. CoinMarketCap data shows that Binance has a trading volume of more than $ 46 billion in the last 24 hours, which makes it the best valued exchange, ahead of Coinbase, with about $ 9.5 billion. The estimated valuation would also put it ahead of its US competitor, which made its initial public offering in April with an estimated valuation of $ 100 billion.
If Binance went public, it is unclear in which country it would. The exchange does not have a formal headquarters, but its holding company is registered in the Cayman Islands, with previous connections in China, Japan, Malta and the Seychelles. The CEO, Changpeng Zhao, or CZ, lives in Singapore and many of Binance’s employees are apparently spread across the world.
Nevertheless, CZ said in September that the US arm of the exchange was aiming for an initial public offering in 2024, having generated between $ 800 million and $ 1 billion in profit in 2020. Kraken, which is also considering going public in the United States later next year, was worth an estimated $ 10 billion in June.
Binance has faced scrutiny from regulators around the world, and authorities in the United States, Italy, Canada, Japan, and Thailand, among other countries, have warned local investors to be careful when using the exchange. CZ said in July that it wanted Binance to be “licensed everywhere,” coordinating with regulators as the company expands.
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