It is stated that a possible penalty for Binance, whose daily trading volume exceeds 13 billion dollars, could positively affect rival exchanges.
The lawsuit filed against Binance in the US has made a splash in the crypto industry. There are heavy accusations against Binance, the largest volume exchange. The CFTC's charges include tax evasion, terrorist financing, money laundering. It is stated that the CFTC's case could lead to serious consequences. It is stated that a possible penalty for Binance, whose daily trading volume exceeds 13 billion dollars, could positively affect rival exchanges.
Tokenwise founder Jeannette Spaulding stated that the US-based exchange Kraken may experience a rise after Binance's problems. Stating that people who cannot access Binance can shift to other centralized exchanges, Spaulding said, "There are many platforms that are on the alert and can meet the demand."
The Block research director, Steven Zheng, stated that if Binance is forced to downsize, Dubai-based Bybit will benefit from this situation. He said Kraken and Coinbase will also have addresses for assets that come out of Binance.
Fireblocks manager Jason Allegrante stated that in the long run, traditional financial players such as Nasdaq may step in to fill the gap in the market. Nasdaq announced that it plans to launch its crypto custody service at the end of the second quarter.
PolySign CEO Jack McDonald stated that a major player leaving certain areas could increase volatility in the market. McDonald stated that there will be opportunities for smaller players. Gartner web3 analyst Avivah Litan said the lawsuits could stifle blockchain and crypto innovation in the US.
It is stated that due to the aggressive approach of the USA towards the crypto sector, Europe, Singapore, UAE and Hong Kong will be in an advantageous position.