
Binance's CZ Advocates for Public Token Treasuries Amid Risks
Binance's founder emphasizes the potential of public-company bitcoin treasuries and tokenization while cautioning about existing risks as crypto enters a new phase.
Key Highlights
- CZ claims that public-company bitcoin treasuries and ETFs are crucial for crypto, potentially unlocking trillions in institutional investment globally.
- The acceleration of tokenization of real-world assets (RWAs) promises to integrate stablecoins, treasury bills, and real estate into the crypto market.
- CZ also pointed out the risks associated with treasury firms during bear markets and heightened volatility with newly issued tokens.
Insights from CZ
Speaking at Bitcoin Asia in Hong Kong, CZ stated:
“In the world’s largest economy, 90%-95% of the money is managed by institutions.”
The progression towards integrating equity markets and cryptocurrencies is expected to broaden institutional access to digital assets. However, Zhao warned about volatility and the inevitable challenges some companies will face as they navigate these investments.
A Call for Caution
Despite his optimism, CZ urged investors to carefully assess treasury companies, emphasizing that not all of them would thrive.
For more details, visit CoinDesk.