Crypto exchange Binance is looking to hire around 1,000 people this year.
Most of the roles are compliance-related. A recent report brought to light that the crypto exchange’s annual spending to meet regulatory requirements hovers above $200 million.
Specifically, Binance intends to have a 700 people strong compliance workforce by the end of this year. At the moment, they have 500 of them working under the same roof.
The exchange’s Chief Executive Officer Richard Teng asserted,
“I’ve been a regulator all my life. Government agencies are important.”
Here it is worth noting that Binance’s plea deal with US agencies including the Justice Department encompasses a $4.3 billion penalty for lapses that let perpetrators and terror groups use the exchange.
Binance and its co-founder Changpeng Zhao were sued last year for mishandling customer funds, manipulating investors and regulators, and failing to adhere to securities rules.
While Zhao stepped down as part of the US plea deal, the defendants continue to wrestle the allegations. Zhao was subsequently sentenced to a four-month jail term and meanwhile, Teng took over reigns at the exchange.
At the moment, the firm is under compliance monitoring by the DOJ and the US Treasury’s Financial Crimes Enforcement Network.
Forensic Risk Alliance and Sullivan & Cromwell — the monitors appointed by the US agencies — have already kickstarted their work which includes keeping tabs on the company’s financial statements and tracking transactions.
Teng highlighted that Binance handles a growing number of requests from law enforcement agencies around the world. So far in 2024, they’ve received 63,000 requests. This figure is already higher than the 58,000 figure registered in 2023.
Alongside expanding the compliance team, Binance is also looking to add to its customer service roles.
