Binance CEO Changpeng “CZ” Zhao revealed in a recent interview that the company is looking for around $1 billion in future acquisitions of troubled assets in the digital asset space.
Zhao told Bloomberg Television, “If this is not enough we can allocate more.”
Zhao reportedly claimed at a conference in Abu Dhabi last week that there was a lot of interest from industry leaders in his company’s planned recovery fund to aid cryptocurrency ventures.
Binance Exchange in Second Bid for Voyager
Binance will most likely submit a second bid for the bankrupt lender Voyager Digital, CZ confirmed in the interview. Last week, Binance.US, the US division of Binance, decided to make a new bid for Voyager after its first attempt failed due to national security concerns.
The news also comes on the back of the collapse of FTX, a key rival. Binance backed out of a proposed acquisition of its now-bankrupt rival exchange. The founder also revealed that the deal could not go through because Binance did not have access to all of FTX’s books or trading records. According to him, the exchange is looking to scrutinize FTX assets as they go through the bankruptcy process.
“they [FTX] Invested in a lot of different projects, some of them okay, some of them bad, but I think there are some assets that are worth saving,” Zhao said.
He also believes that the industry needs to question industry players to avoid similar explosions in the future. “This is not meant to be an attack on any of our industry partners. We want to see more transparency and more scrutiny in the industry,” he said.
Earlier this month, the CEO also said that the exchange would disclose cold wallet balances and addresses for its top six cryptocurrencies in order to maintain transparency about its holdings.
Saving Grace of Genesis
According to Zhao, Binance is also in talks with Genesis Global, a US-based cryptocurrency broker in need of financial backing to survive. Over the past weeks, the Lending Division of Genesis Stopped New loans and redemptions while looking for emergency funds.
“We’re going with a loose approach where different industry players will contribute as they wish,” Zhao said of the fund.
He said, ‘Whenever a player goes down, it hurts.’ “Every time there are wider impacts, the impacts are mitigated, so I think overall the industry is fine.”
Meanwhile, cryptocurrency exchange Bybit has set up a $100 million fund to support institutional clients.
“We are all in this together, and it is up to everyone to do what they can to support our industry and this is one way we can help give back,” said Ben Zhou, CEO and co-founder of Bybit. are helping.”
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