Dear Binance Community,
At the end of 2023, I would like to share with you several reflections, both as the new CEO of Binance and as one of the many Binancians who have worked to promote financial freedom throughout the year – after all, my tenure at the helm of this incredible organization has only just begun. in November. If I had to sum up my message in just one sentence, it would be this: As we enter a new year, the Binance community has very good reason to look forward with optimism and hope.
In 2023, we not only maintained our strength as a robust company and leader in the world's most dynamic industry – we dared to embrace change and emerged stronger. Most of the historical obstacles in the US are now released after reaching resolutions with regulatory agencies. Binance has the culture, talent and experience to become a truly compliance-centric organization, as well as being user-focused, structured and poised to lead the digital asset industry in its new era.
Tangible trust
The last few weeks have demonstrated that this assessment is not mere demagoguery and that our users trust us and our vision of the future. Following the announcement of the US resolutions and Binance's leadership change, net inflows were very robust, while new users continued to arrive steadily. By the end of December, we surpassed the mark of 170 million registered users, registering a 30% increase compared to last year. Actions speak louder than words, and your support means the world to us as we open a new chapter.
Importantly, we saw a particularly strong increase in inflows from institutional investors. The reason I see this as fantastic news is that it suggests that institutions' trust in Binance and the Web3 ecosystem is strengthening at a time when institutional participation, along with clear regulation, is critical to mass asset adoption digital. This year, we have already introduced exciting developments – for example, the innovative Trilateral Banking Agreement – to deliver unparalleled value to this important category of customers, and we have more in store for next year.
Opening the Web3 trail
Our most important commitment, as always, remains to our users. No change in leadership or corporate governance can alter this fundamental pillar of Binance's DNA: the drive to build and deliver services that make people's lives better. Responding to and anticipating user needs has led us to participate in (and often define) some of the key trends shaping the digital asset space in 2023.
Responding to the trend toward a more engaging social Web3 experience, we revamped Binance Square, which has multiplied its user base and number of active creators many times over this year, and introduced social copy trading functionality.
In 2023, Binance recorded significant growth in our core services related to crypto payments, P2P trading and earning, showing solid progress on the path to mass adoption of digital assets. The number of active Binance Pay users grew by 20%; Binance's P2P platform served 39% more users; Binance Earn helped 35% more people move their cryptocurrencies. For an overview of the numbers and metrics describing Binance's performance in 2023, you can read our year-end report, which was just released in the press.
Above all, we remain, and will always remain, focused on the security of users and their funds. From cooperating with global authorities to combat criminal activity in the digital asset space to running educational campaigns for users, from maintaining our SAFU fund (valued at $1.2 billion at year end) to expanding coverage of our Proof of Reserves System – The security and transparency of your funds is Binance’s top priority.
Looking to the future
We have many reasons to start the new year in high spirits. Binance is beginning its new chapter with a strong financial position, and we are trusted by our incredible global community, which is expanding rapidly. This organization was built to last – not years, but decades. Of course, building the future of finance and promoting financial freedom globally is a long and difficult road, but we are prepared for the reflective, iterative and incremental effort that is required. With the unwavering support of the Binance community, we have proven that there are no challenges we cannot overcome.
As we move forward, we will balance our commitment to three key groups. First, our most important stakeholders: our users. Second, global regulators, who will play an increasingly vital role in shaping the future of our industry and its ability to realize the tremendous potential of blockchain and digital assets. And finally, we will place great emphasis on forming and maintaining industry partnerships – we are all in the same boat, and building a stronger ecosystem is most easily achieved through cooperative efforts.
Finally, I would like to thank the incredibly resilient, hardcore, and mission-driven team at Binance for everything we have accomplished this year despite strong headwinds. It is an honor to lead this exceptionally diverse group of talented and dedicated professionals – and a great pleasure too. I look forward to doing even more alongside all of you in 2024 and beyond.
Happy New Year!
Richard Teng
