Richard Teng: The Fundamentals of Our Business are VERY Strong

Binance's new CEO, Richard Teng, emphasized the robust financial health of the world's largest cryptocurrency exchange. Teng was responding to a post suggesting that the firm could fully cover a hypothetical $4.3 billion fine from the Department of Justice (DoJ) without selling any crypto assets. Teng remarked, "The fundamentals of our business are VERY strong. Binance continues to operate the world's largest crypto exchange by volume, our capital structure is debt-free, expenses are modest, and, despite the low fees we charge our users, we have robust revenues and profits." The comment came in the wake of a user's calculation that excluded Binance's corporate crypto holdings from their Proof of Reserves. The calculation suggested that Binance holds $6.35B in total assets, including $3.19B in stablecoins. This calculation does not account for off-chain cash balances or funds held in wallets not included in the Proof of Reserves, emphasizing the solid foundation of Binance's financial standing.