This week, Binance founder Changpeng “CZ” Zhao announced that the company could allow external investments “over time” in the world’s largest crypto exchange by trading volumes .
“Top investors are always interested in vinance,” Zhao said on social media. “Over time, we may allow investments in single-digit percentage ranges.”
Zhao claims the company is “not for sale,” but the Crypto community praised the move. “This is a positive step,” Fred Schebesta, founder of Fintech’s company Finder, told Thestreet Crypto.
“He has settled some of his fairness and effectively recognizes the values he has built,” Shevesta added. “This move will broaden the foundation of ownership and strengthen the company’s governance process, which will contribute to the strength and stability of the exchange in the future.”
Despite being the world’s largest crypto exchange, Binance remains a private company with a very opaque ownership structure that is thought to be held primarily by Zhao.
Zhao recently sentenced him to four months in prison as part of a $4.3 billion settlement with the US government after admitting he had violated the US government’s laundry laws and bank secret laws. He also had to abandon his role as CEO and pay a $150 million fine.
However, Zhao maintains a personal value of $70 billion and has become one of the wealthiest men in the crypto industry. Recently, he also transformed Binance’s former venture arm, YZI Labs, into a private investment room that injects money into AI (artificial intelligence), Web3 and biotechnology projects.
Last year ahead of Zhao’s release from federal prison, Binance CEO Richard Teng told Thestreet Crypto that Zhao is still a “major shareholder” of the company.
It is not clear whether Zhao is trying to loosen his control over the crypto company. “I’m not saying I’m going to keep fairness forever,” Zhao told Bloomberg last year. “I’m happy to review all the offers, but I haven’t done anything so far. I’m just a regular shareholder at this point.”