Binance founder Changpeng “CZ” Zhao has vehemently denied recent reports claiming that his family office, YZi Labs, is in the process of raising external capital. In a statement posted on X, Zhao refuted a Financial Times article as “completely false” and containing “made-up info and negative narratives.”
The original report had suggested that YZi Labs, established earlier this year to manage Zhao’s personal wealth, was considering opening its $10 billion investment vehicle to outside investors. This move would allegedly occur once the firm had matured its internal capabilities, as stated by YZi Labs chief executive Ella Zhang.
However, Zhao clarified that YZi Labs operates independently and has not sought external funding. He emphasized that the company has not engaged in any fundraising discussions or prepared any materials to pitch to potential investors since its rebranding.
Furthermore, Zhao addressed the FT’s portrayal of his U.S. legal settlement, clarifying that the case involved a violation of the Bank Secrecy Act related to anti-money laundering programs and should not be equated with money laundering violations.
YZi Labs, which manages Zhao’s capital and funds from select Binance executives, primarily invests in cryptocurrency start-ups, along with ventures in artificial intelligence and biotechnology. While briefly accepting external investments in 2022, the firm later returned a portion of the funds.
Despite speculation that YZi Labs may admit U.S. investors, Zhao dismissed these claims, asserting that no such plans are in progress. He criticized the FT for its misleading coverage and declined an interview, which Zhang attended instead.
Presently, YZi Labs operates with a 12-person team focused on long-term investment strategies rather than short-term gains. The firm recently broadened its investment focus to include blockchain, AI, and biotech projects after rebranding from Binance Labs earlier this year.
Notable investments by YZi Labs include Avalon Labs, a Bitcoin DeFi platform, and USD.AI, a stablecoin protocol for infrastructure finance. The firm also expanded its stake in Ethena Labs, supporting the development of USDe, a leading U.S. dollar-pegged crypto asset.
Overall, YZi Labs remains committed to supporting impactful technologies and projects, aligning with Zhao’s long-term investment vision. The firm continues to explore new opportunities in the crypto and tech sectors while maintaining a strong presence within the Binance ecosystem.
The original content of this article was sourced from Cryptonews and integrated into a WordPress platform for easy access and reference.