Binance Labs Becomes Its Own Company, Keeps Using Binance Name

Binance Labs, previously part of Binance with a $10 billion portfolio, has become an independent entity but keeps the right to use the Binance name. This change, subtly announced on their website, marks a significant shift under CEO Richard Teng's short leadership of four months.

The separation was first noticed between February 19 and 24, according to website archives. Binance Labs' staff now have different contracts from Binance employees, similar to those at the BNB Chain project, though this move is not expected to drastically alter its operations. Alex Odagiu, Investment Director, stated that despite the organizational change, Binance Labs will continue using the Binance brand.

Even after gaining independence, Binance Labs remains actively investing. It supported Babylon, a Bitcoin staking protocol that allows for direct BTC staking on PoS blockchains. This enables earning yields without needing third-party services. It also incubated projects like Ethena Labs for Ethereum derivatives, NFPrompt for AI-driven Web3 content, and Shogu. fi for optimizing trading value.

Amid these developments, Binance faces regulatory challenges. After agreeing to a $4 billion fine with U.S. regulators, one of the largest in corporate America, its legal battles persist. The SEC's lawsuit against Binance, Binance.US, and former CEO CZ is ongoing, with a motion to dismiss still under debate. Following legal issues, CZ stepped down, and Richard Teng took over as CEO.

This reorganization of Binance Labs as an independent company, alongside Binance's continued legal scrutiny, represents a notable phase in the crypto world, illustrating both entities' evolving paths.