The crypto winter is proving to be unbearable for some, but other businesses enjoy the cold weather. Binance is taking advantage of the current market conditions to expand into the Asian market by acquiring its third licensed crypto exchange.
This Dec. 19, Binance confirmed that it became the majority shareholder of Indonesian cryptocurrency exchange Tokocrypto, appointing a new CEO following the resignation of Pang Xue Kai, its founder and now former CEO.
As reported by CNBC Indonesia, Binance plans to acquire all of Tokocrypto’s shares in a phased manner to operate legally in the country, as the exchange has all regulatory permits from the Commodity Futures Trading Regulatory Agency (BAPPEBTI).
It is worth mentioning that Binance has been investing in Tokocrypto since 2020, so it had a long and close relationship with the Indonesian exchange.
Pang Xue Kai, who will become a member of Tokocrypto’s Board of Commissioners, praised Binance’s acquisition, stating that the Asian giant has contributed a lot to helping Tokocrypto enter the Indonesian digital market.
“Tokocrypto came from our idea more than four years ago and I am very proud to see every growth, achievement and contribution that the company has made to advance Indonesia’s digital economy.”
Pang Xue Kai added that this decision was “carefully” made with the future of the exchange in mind to take advantage of all the growth opportunities Binance can offer to build an additional physical trading platform for crypto assets.
Yudhono Rawis, Tokocrypto’s interim CEO, regretted that they had to downsize the company’s team but stressed that it was the best decision in order to overcome the challenging macroeconomic conditions affecting the global market.
“It is regrettable that we have had to reduce the size of the company to ensure we remain in a good position to cope with the uncertain macroeconomic conditions and we extend our sincerest apologies to the affected employees.”