Faced with constant regulatory challenges affecting the cryptocurrency sector, Changpeng Zhao has seen his fortune fall drastically by 82%, now positioning him in 95ᵉ place. He built his fortune through the creation and operation of Binance, the world’s number 1 exchange.
Changpeng Zhao’s fortune has plummeted to 95ᵉ position worldwide !
The intensification of cryptocurrency regulation has had a major impact on the financial situation of CZ who once competed with the richest people in the world. The wealth of the CEX (Centralised Exchange) leader Binance has thus collapsed by 82%, falling from $96 billion in January 2022 to $17.2 billion today, taking it from 11ᵉ to 95ᵉ place. among the richest in the world.
This drop in Changpeng Zhao’s fortune is mainly due to a reduction in trading on the world’s most important exchange, Binance, with a 38% reduction in revenue estimates this year, according to Bloomberg Billionaires Index.
In addition, the current legal issues facing Binance play a significant role in this notable decline. In June, the Securities and Exchange Commission (SEC) took legal action against Binance for various breaches, including inadequate prevention of money laundering and poor management of customer assets.
In addition, the Commodity Futures Trading Commission (CFTC) accuses Binance of having exceeded the rules limiting access for American users.
Despite these obstacles, Binance retains a pre-eminent position in the market. According to CCData the platform accounted for 62% of stock market transactions in the first quarter of 2023. And even though this percentage has dropped to 51%, Binance retains influence in the face of other exchanges.
It should be noted that the Binance is not the only reason given for the fall in CZ’s fortunes. Analysts speculate on the possible involvement of CZ in FTX’s collapse.
However, did the estimate of his fortune properly take into account all his crypto-currency and investment assets?
As a journalist at Coinpri, I’ve been captivated by the world of bitcoin and blockchain since 2020. The decentralized aspect of Bitcoin particularly piqued my interest. Since then, I’ve been working constantly to spread my knowledge, hoping one day to see a world where everyone fully enjoys their financial freedom.