Traditional operators of stock exchange were made to jaw drop by cryptocurrency exchange Binance, which reported a profit of $200 million for 8 months.
For the same period, tech-heavy Nasdaq posted a profit of $209 million. The comparison was made on Twitter by Dovey Wan, managing director of Danhua Capital.
Notably, it is only one of the comparisons that are currently circulating on social media platforms. Wan also pointed out that the profit of the exchange has surpassed Deutsche Bank’s first-quarter profits by almost $50 million.
Ironically, Binance has not even completed one year of operation. The eight month old startup has about 200 employees, compared with 4,500 employees of the 47-year old Nasdaq and 100,000 employees of Deutsche Bank, which has been in existence since 1870.
Someone said it’s unfair to compare Binance with Deutsche Bank (Exchange vs Bank) so I made this ??? Now it’s apple to apple I suppose? @cz_binance @heyibinance pic.twitter.com/HxCBSKIAnx
— Dovey Wan (@DoveyWan) August 30, 2018
However, not everyone has a word of praise for the platform, which has come under scathing criticism from several blockchain project owners for allegedly charging multibillion dollar listing fees. Even its CEO Changpeng Zhao was criticized for not being transparent enough when it comes to listing of new tokens.
In fact, Bitcoinist has reported last week that even Bitcoin may not get listed in Binance as a new project without any party to apply for listing. WhalePanda, One of the social media commentator has summarized the situation as follows:
“It’s interesting to see where we’re coming from. If you have a decentralized cryptocurrency with a founder that disappeared you can never get listed on exchanges.”
Unfortunately, it is the case of all cryptocurrency exchanges at this point in time. Even though Binance does not compete with Coinbase directly, the exchange has shifted its base to crypto friendly country Malta after facing issues with regulators in Japan. Recently, the company has opened a dedicated exchange in Lichtenstein and also invested $32 million in Korean eCommerce marketplace Ticket Monster (TMON).
