Despite the crypto markets plunging again after a short-lived run sending Bitcoin above the $32,000 level, Changpeng Zhao (CZ) – the CEO of the largest crypto exchange by trading volume – reiterated his bullish view on the industry in the long run. He insisted that the asset is an investment as well as a currency, and the crypto space will continue growing despite the recently rising volatility.
I don’t have dollars: CZ
In the last interview with CNBC, Binance CEO CZ explained why he only uses cryptocurrencies to buy Burritos from host, Becky Quick. The conversation started with Quick questioning the status of cryptocurrency as a currency or an investment.
CZ responded that cryptocurrencies and fiats are interchangeable. One can use digital assets to purchase things in life and replenish the stash of fiat for prospective investment.
When told that – if crypto is an investment – it won’t be used for purchases because people won’t choose to spend something that will grow in the future, CZ replied that he didn’t hold no fiat and all he had was crypto – so he’s the only asset he uses for purchases in life.
“For me, I don’t have dollars. Everything I have is in cryptos. So when I need to spend money, I need to spend some parts of it somewhere. For me, I’m all in cryptos. I don’t have to think about selling crypto. Crypto is my money.”
Furthermore, he noted that crypto is much more suitable than fiat for cross-border payments as it is much cheaper and faster. In particular, when it comes to donations, he added, crypto has proven to be a better alternative because it allows a given small amount to be transferred – a feature currently not available for the traditional payment system.
Some People Trade, And Some People Build
In response to the state of institutional adoption in the crypto space, CZ singled out a few important areas of the industry, including NFT, DeFi, and more. He cited non-fungible tokens as “a killer app for artists,” allowing them to monetize their art in an unprecedented way.
At the end of the interview, he compared crypto markets to stock markets, saying:
“There are a lot of people trading on the volatility of crypto. That’s the same to the stock market – some people trade and some people build.”
On Wednesday, Binance’s investment arm, Binance Labs, raised $500 million for its first seed fund to be built in the Web3 ecosystem. This was the giant’s latest move to support incubated, early-stage and late-stage Web3 businesses.
