Binance Set To Acquire Indonesia’s Tokocrypto: Report
- Binance is reportedly planning to acquire renowned Indonesian crypto exchange Tokocrypto and is currently engaged in negotiations.
- Pang Xue Kai, the CEO of the Indonesian exchange, would resign from his job, the report claimed if acquisition is confirmed.
- Tokocrypto might also experience layoffs after the takeover, as per a report.
- Tokocrypto laid off 45 employees or around 20% of its staff in September this year due to unfavorable market conditions.
World’s largest cryptocurrency exchange platform Binance is reportedly planning to acquire renowned Indonesian crypto exchange Tokocrypto. As per a recent report by Tech In Asia, which cites sources familiar with the matter, Changpeng Zhao’s company is in negotiations to acquire Tokocrypto.
After the acquisition is completed, Pang Xue Kai, the CEO of the Indonesian exchange, would resign from his job, the report claimed. Notably, Tokocrypto might also experience layoffs after the takeover.
However, the vice president of the company Rieka Handayani declined to comment on the rumors and speculation. She stated:
“Tokocrypto’s focus is on building a sustainable business and actively continuing the development of the crypto asset industry which has grown significantly.”
It is important to note that amid the ongoing crypto winter season, Tokocrypto laid off 45 employees or around 20% of its staff in September this year. The company claimed at the time that the move was made in anticipation of a persistent unfavorable trend in the cryptocurrency market and the overall economy.
This year, the cryptocurrency market has declined worldwide, including in Indonesia. The value of cryptocurrency transactions in the country from January to September was $17 billion, down by 57.8% from the same time last year, according to the ministry of trade.
Major acquisition streak
Binance, which has always displayed interest in the Indonesian crypto industry, had put its money in Tokocrypto in 2020, marking a solid entry in the local market.
This came when the Indonesian crypto exchange obtained official permission from the local government to operate in the region. Recently, Binance has opted for partnerships and acquisitions as a way to expand into new markets. The world’s biggest crypto exchange acquired a significant share in MX Global, a licensed platform for trading digital assets, in Malaysia.
After indirectly revealing the flaws in the operations of former multi-billion dollar crypto exchange FTX, the world’s biggest crypto exchange Binance confirmed its entry into the Japanese market after four years of closing its services in the country due to regulatory concerns. The firm completed the 100% acquisition of Sakura Exchange BitCoin, a Japanese crypto exchange service provider.
Binance CEO Shares Narratives
Today, the CEO of the exchange, Changpeng Zhao, shared a list of “wrong narratives” that he has seen recently. He denied the fact that Binance killed FTX and added that “FTX killed themselves (and their users) because they stole billions of dollars of user funds.”
“SBF perpetuated a narrative painting me and other people as the “bad guys”. It was critical in maintaining the fantasy that he was a “hero.” SBF is one of the greatest fraudsters in history, he is also a master manipulator when it comes to media and key opinion leaders,” said Zhao in another Twitter post.