Wei Zhou, Binance’s chief financial officer, believes that two main factors will favor the adoption of crypto-currencies across populations.
In an interview with the site CryptoSlate, the leader discussed the future of cryptocurrencies.
He believes that two factors will promote their adoption:
the establishment of a robust infrastructure to easily buy them,
the increase in the number of quality crypto projects.
“I think that two elements will help to promote the adoption of cryptocurrencies. The first is the ease with which digital assets can be purchased, including “entry” corners such as Bitcoin or Ether. For that, I think we need a larger number of “on-ramp” platforms [fiduciary currencies] and “off-ramps” [cryptocurrencies to fiduciary currencies]. It’s a common perception.
“The second factor is related to the number of high quality projects in the ecosystem. We need to attract more intellectual capital and bring in more bright founders to develop projects, attract investment, and have secondary markets for these projects. And we want to participate in this evolution. “
310,000 daily users
In the last 11 months, crypto markets have lost more than 70% of their valuation, from 720 to 206 billion dollars.
At the same time, as revealed by CEO Changpeng Zhao a few days ago on CNBC, volumes handled by Binance have decreased by almost 90% since last January.
However, the activity of the world’s first cryptocurrency trading platform seems to remain strong. According to the Blockchain Transparency Institute, it would claim more than 310,000 active users daily, for a trading volume of over a billion dollars.
Especially since the activity of the exchange sites remains much higher than the levels that were his at the beginning of the year 2017. And these figures could reflect only part of the world transactions, since they do not account OTC exchanges which are carried out every day outside the platforms.
In recent months, despite a sharp drop in activity, Binance seems to have made significant progress. It was learned in September that the company would launch a “fiat-to-cryto” trading platform in Singapore. This island, which has recently become one of the hubs of the crypto sphere, offers an accommodating regulatory environment for digital assets.
Yi He, co-founder and marketing director of Binance, told CryptoSlate that his company remained confident about the future of the market, in what looked like a real sermon:
“I have total confidence in this industry, and – which is classic for those who share this vision – I totally dedicate myself to this sector. Almost all of Binance’s employees receive a portion of their salary in BNB, and many know that Changpeng Zhao sold his home several years ago to buy Bitcoin. In fact, only two years after completing this operation, the value of his house had doubled, while the price of Bitcoin had collapsed. Changpeng Zhao never doubted and was barely shaken. Almost all of my personal fortune is now invested in cryptocurrencies. It is a true faith.
For his part, Wei Zhou says his company will continue to work to promote the adoption and use of cryptocurrencies, relying on its user base.
“The history of our society is very short. We drove our ICO, we finished it in July and August 2017, and the platform really only started between August and September 2017. We’ve only been there for 5 quarters. “
“First, we claim a large global user base, with more than 10 million active users, spread across 180 countries. Next, many clients rely on Binance’s portfolios. From this we have the opportunity to determine what our users need beyond trading.
Goal 1 billion
Changpeng Zhao had previously stated that Binance hoped to reach the billion user mark between 2030 and 2040.
To achieve this, the platform could notably rely on Africa – a market where, as Mr. Zhou says, the adoption of mobile telephony is growing rapidly.
“Look at the rise in the use of mobile phones. Take Africa for example. Only 15% of a young population of 2 billion, which is growing steadily, has access to banking services. With the infrastructure being built, these people will have a phone even before they get their first bank account. I think it’s an environment in which crypto-currencies will naturally replace traditional finance. “
According to estimates provided by the Statistica website, the number of mobile phone users in Africa is expected to reach 789 million by the end of 2019.