Binance Former Employees Join Newly Launched CommEX
Binance has announced the sale of its Russia business to CommEX and revealed that some former Binance employees have joined the newly launched exchange. Changpeng Zhao, CEO of Binance, confirmed in a tweet that former members of Binance’s cryptography and information security team may have already joined or will join CommEX. This comes after Binance decided to fully exit Russia and sell its business to CommEX, which officially launched on Tuesday.
Similarities in User Interface
In response to concerns about the similarities in the user interface between Binance and CommEX, Zhao clarified that Binance requested this similarity to ensure a smooth user experience for transitioning users. He stated that the design and APIs of CommEX are similar to Binance.
Blocking US and EU Users
Zhao mentioned that CommEX does not serve users from the United States or the European Union due to IP and KYC blocks. This was a condition requested by Binance as part of the deal.
No Ownership or Buy Back Options
Zhao emphasized that he is not the ultimate beneficial owner of CommEX and does not own any shares in the new exchange. He also clarified that there are no buy back options in the deal. Unlike other businesses’ sell-off deals, there is no provision for Binance to repurchase its Russia business.
Transition Period and Integration
During the transition period, there will be crypto transfers between Binance and CommEX as users migrate with their funds. Zhao explained that older transactions during the testing phase of integrations are expected.
A Question of Ownership
CommEX’s ownership remains unknown, as the exchange does not provide any information about its owners or management. Binance also refused to disclose its ownership but denied using the same underlying technology as CommEX.
According to CoinMarketCap, CommEX describes itself as a “rapidly expanding cryptocurrency exchange, backed by top-tier crypto VCs,” without disclosing the names of these investors.
Hot Take: The Expansion and Uncertainty Surrounding CommEX
The launch of CommEX and the involvement of former Binance employees have raised questions about the exchange’s ownership and operations. While Binance has completed its sale of the Russia business to CommEX, it remains unclear who owns and runs the newly launched exchange. With limited information available and no response regarding ownership, there is a level of uncertainty surrounding CommEX. As the transition period continues and users migrate their funds, it will be interesting to see how CommEX establishes itself in the competitive cryptocurrency market.
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