Previously, Binance CEO Changpeng Zhao said Singapore had become more careful about cryptocurrency regulations after the collapse of FTX, but the country was still crypto-friendly.

Reporting from Coinmarketcap, Monday (18/9/2023), Zhao pointed out that Hong Kong crypto regulations implemented in the middle of the year only allowed a limited number of tokens to be traded by retail investors.

This shift towards stricter crypto regulations has caused many traditional financial institutions to hesitate in offering cryptocurrency-related services.

Nonetheless, Zhao emphasized that new players in the crypto industry are emerging, indicating continued interest and growth in the sector.

Earlier this year, the US Securities and Exchange Commission (SEC) filed a lawsuit against Binance and CZ, alleging several securities violations related to the BNB token and BUSD stablecoin. The lawsuit had an impact, causing the loss of Binance’s stablecoin market share.

In response, Binance US, a separate entity serving the US market, has challenged the SEC’s motion for deposition and further discovery, stating that evidence of improper diversion of customer funds has not been presented.

The evolving regulatory landscape and actions of major players like Binance underscore the ongoing transformation and challenges in the cryptocurrency industry.

Singapore’s distinct approach, balancing regulation and innovation, reflects the broader global conversation around digital assets.