EP 9. Binance criminal settlement, US vs. China crypto regulation, and why are(ethnic) Chinese entrepreneurs are so successful in crypto?

This is a free preview of a paid episode. To hear more, visit www.baiguan.newsHighlights* The Binance case is significant (although the hefty penalty is only estimated to be ~1 year of profit of the crypto exchange). This case shows that US regulators are tough on crypto, but also do not want to crush it.* China has an interesting dual-system crypto regulatory regime, with total ban on anything crypto in mainland China, but very encouraging policies in Hong Kong, effectively protecting mainland citizens against scams but also keeping a foot at the forefront of innovation. "One country, two systems" in real action.* Despite China's ban, Chinese and ethnic Chinese account for a disproportionate share of the crypto community. One big reason is that many crypto businesses, especially the crypto exchanges require a high level of "operational excellence", something Chinese entrepreneurs are very good at.* Crypto does not equal scam. At the fundamental level, it's not much different from venture capital. So it is possible to look for high-risk, but high-quality teams in this field.Transcript[00:00:00]Robert Wu: Welcome to China Biz Talk by Baiguan. This is Robert Wu. The past week is very dramatic for the whole world. The roller-coaster events at OpenAI are simply jaw-dropping. In this part of the world, Taiwan elections have also seen an supposedly unprecedented alliance between leading opposition groups, shattered only within 48 hours after announcement (I had a discussion about that in my personal newsletter). In the meantime a ground-breaking event also occured in the crypto world. World's largest crypto exchange, Binance and its CEO CZ Zhao pleads guilty to US Department of Justice for violating anti-money laundering laws, and pay a whopping $ 4 billion penalty. What does this event mean for crypto?Today we are having Raymond Huang, a Hong Kong-based serial entrepreneur. Raymond's career spanned from investment banking, management roles at internet companies and starting his own cross-border ecommerce company. Now Raymond runs a Hong Kong-based crypto fund named Mars Capital, which specializes in liquid token investment.Let's welcome Raymond!The full transcript is reserved for the paid subscribers of Baiguan. You can also earn complimentary access with our referral rewards program.