TLDR:
- Binance separates its $10 billion venture arm, Binance Labs, from the parent firm.
- Despite the split, Binance Labs continues leveraging the brand through licensing agreements.
Leading crypto exchange Binance recently announced the separation of its $10 billion venture capital arm, Binance Labs, from the parent company. This move came shortly after Richard Teng took over as the new CEO of Binance. Binance Labs now operates as an independent entity with staff working under separate contracts. The Investment Director of Binance Labs clarified that they are no longer part of the Binance group, and the venture operates independently from the parent company.
Despite the detachment, Binance Labs will still leverage the Binance brand through licensing agreements. The venture capital arm has been a significant player in the crypto investment landscape, investing in around 250 projects, including well-known names like Polygon and The Sandbox. Binance Labs also runs programs to support startups using BNB Chain and other blockchains, with the majority of its funding coming from the profits of the Binance exchange.
This move to separate Binance Labs from the parent company follows increased scrutiny on Binance after a hefty penalty and leadership changes. Binance Labs currently boasts a total asset value exceeding $10 billion, as reported recently. The venture arm continues to thrive and make strategic investments in the crypto space, despite the restructuring within the Binance organization.
