《 2026 is a regulatory year, and the second half of the exchange is compliance Global cryptocurrency regulation is tightening at an unprecedented pace. -The GENIUS Act in the United States has been signed, the CLARITY Act is being promoted, and the SEC and CFTC have jointly launched Project Crypto; -In the Asia Pacific region, VASP licensing in Hong Kong and Project Guardian in Singapore have both been implemented. At this node, Richard Teng, Co CEO of Binance @_Richard Teng has released a video worth following. He appeared on camera with Chief Compliance Officer Noah Perlman, presenting specific data on what Binance has done in compliance. The information density is very high, and Biteye believes that there are several key points worth paying attention to. ⭐ 1. Interpretation of Key Signals: Defining Compliance with Data Based on the recent compliance content released by Binance, this video conveys several key signals: one ️⃣ A quarter of the employees are working on compliance Binance currently has over 1500 dedicated personnel responsible for compliance and risk control, accounting for approximately 25% of its global workforce. Among them, there are 593 full-time employees in the compliance business unit, and nearly a thousand people are responsible for compliance functions in departments such as technology, products, and customer service. In the past few years, billions of dollars have been invested in the reconstruction of this system. According to relevant information, compliance control has been deeply embedded in Binance's business operation mode, preceding every step of the business process. For an exchange that operates 24 hours a day and has users all over the world, the difficulty of building this system far exceeds what the outside world imagines. two ️⃣ Sanctions risk exposure decreased by 97% in 18 months From 0.284% of the total transaction volume in January 2024 to 0.009% in July 2025. The direct interaction amount with major high-risk exchanges has decreased from 4.19 million US dollars to 110000 US dollars. The openness of public chains means that anyone can transfer funds to exchange addresses without permission, and zero exposure is technically impossible to achieve. What exchanges can do is to control risks through post event monitoring, wallet screening, and transaction monitoring. Under such innate conditions, the investment in technology and manpower behind reducing exposure to less than one ten thousandth should not be underestimated. three ️⃣ Law Enforcement Cooperation and User Data Protection in 2025 -Responding to over 71000 global law enforcement requests, with an average of nearly 200 requests per day -Assisted in confiscating over 131 million US dollars of illegal funds -Risk control system intercepts approximately $6.69 billion in potential fraud losses for 5.4 million users These intercepted frauds happen every day in reality, and compliance is not just a superficial project of obtaining licenses, but a practical defense line directly related to the security of user assets. four ️⃣ Independence of compliance system Compliance decisions are based on legal and established procedures, rather than commercial considerations. Teng also stated in the video that no one has ever been fired from Binance for raising compliance issues, and the responsibility of the investigation team is to discover, report issues, review, upgrade, and handle them according to the framework. ⭐ 2. From Passive Response to Active Reconstruction: A Comprehensive View of Binance Compliance Evolution Binance's compliance system was not built in a day. Looking back at the entire timeline, it has gone through three distinct stages. one ️⃣ Starting period (2017-2021): From rapid expansion to consciousness awakening When Binance was founded in 2017, like the vast majority of cryptocurrency exchanges at the time, its priority was growth and products. The compliance architecture is relatively lightweight, without a systematic KYC process or a complete anti money laundering framework. But as the user base rapidly expands to millions, regulatory attention begins to focus. Between 2019 and 2021, Binance gradually implemented mandatory identity verification and began exploring license applications in some jurisdictions. At this stage, compliance is more of a 'passive response', with regulators pushing one step and platforms taking one step. But for the entire industry, this is already a relatively advanced awareness. two ️⃣ Turning point (2023): Management restructuring Richard Teng has officially taken over as CEO, and his background is noteworthy. He has nearly 20 years of experience in financial regulation, having previously served as CEO of the Abu Dhabi Global Markets (ADGM) Financial Services Regulatory Authority, and also has long-term work experience at the Monetary Authority of Singapore. He mentioned in the video that he had been sitting in the position of a regulator throughout his past career, and now he has switched to the regulated side. This perspective shift has precisely made him understand what regulatory agencies really care about. The significance of this personnel change goes beyond just replacing a CEO. It marks Binance's transition from a founder driven model to an institutionalized and professional management structure. three ️⃣ Reconstruction period (2024-2026): Systematic construction In the following two years, Binance entered a comprehensive compliance reconstruction. In terms of talent, Binance has hired Noah Perlman as its Chief Compliance Officer. Perlman was previously the Chief Operating Officer of Gemini Trust. Afterwards, Binance's compliance control is no longer an independent department's post audit, but is embedded in every aspect of product development, business operations, and risk management. In terms of license achievements, progress is equally intensive: -Currently licensed, registered or authorized in 20 jurisdictions worldwide -By the end of 2025, become the first cryptocurrency exchange to obtain full authorization from Abu Dhabi -In early 2026, submit an EU MiCA pan European license application to Greece, and if approved, it will be able to operate in EU member states ⭐ 3. How does compliance define competitiveness during industry reshuffling? From the above developments, Binance's compliance transformation has the following key implications for the entire cryptocurrency industry: one ️⃣ Compliance capability is becoming a core competitiveness. When Binance defines its standards with a 97% reduction in sanction risk and licenses from 20 jurisdictions, it is actually raising the entry threshold for the entire industry. The competition between future exchanges is no longer just about comparing currencies and rates, but also about whose compliance is more solid. two ️⃣ The cryptocurrency industry is transitioning from "disrupting traditional finance" to "integrating into traditional finance". Binance's transition from having no headquarters or boundaries to actively establishing a board of directors, applying for global licenses, and accepting compliance supervision is an inevitable evolution of the industry towards maturity. three ️⃣ A healthy compliance culture relies on trust. The root cause of many platform collapses is not the lack of regulations, but the lack of emphasis on compliance in the culture from top to bottom. Binance has also made a clear statement on this, stating that compliance investigations operate independently and are not subject to interference from shareholders or management. Compliance decisions are based on legal and established procedures, rather than commercial considerations. ⭐ Fourthly, written at the end: The significance of compliance goes beyond just winning cards In 2026, the global cryptocurrency industry is undergoing a silent but profound reshuffle. The rapid increase in compliance thresholds may accelerate the concentration of resources and users towards top compliance platforms. For every user who stores assets on the exchange, how many people are complying with the platform they choose? How deep is the collaboration with law enforcement agencies? Is it possible to prevent risks before fraud occurs? The editor believes that the answers to these questions may be more worth paying attention to than what the next hundredfold coin is.