- CZ asserts that fiat currency will remain significant in finance.
- He draws a unique analogy between fiat and ties in evolution.
- CZ’s net worth plunged to $17.2 billion from $96 billion.
Binance CEO Changpeng ‘CZ’ Zhao has recently voiced his perspective on fiat currency against the backdrop of his declining wealth, a viewpoint that challenges the prevailing sentiment in the cryptocurrency community. On October 28, CZ shared his thoughts on X (formerly Twitter), asserting that fiat currency will continue to play a vital role in the financial sector for the foreseeable future, diverging from the opinions of many prominent figures in the cryptocurrency industry.
To illustrate his point, CZ drew a comparison between the evolution of basic materials and the coexistence of fiat currency and cryptocurrencies. He stated, “Fiat won’t disappear any time soon. The tie was originally used as a napkin. Crypto will make the market bigger.” CZ emphasized that just as the popularity of napkins did not entirely eliminate the use of ties, cryptocurrencies will not supplant fiat currency entirely.
While CZ’s viewpoint garnered some agreement from users on X, there were also counterarguments. Some users acknowledged the persistence of fiat currency but raised concerns about its rapid devaluation in value.
It’s worth noting that CZ’s net worth has experienced a significant decline. A recent report on October 27 by BeInCrypto highlighted that his net worth has plummeted to $17.2 billion during the ongoing crypto winter. This represents a stark contrast from his peak wealth of $96 billion in January 2022.
Disclaimer: Please note that the viewpoints and perspectives expressed by the author, as well as any individuals referenced in this article, are intended solely for informational purposes. They should not be construed as financial or investment advice. It’s important to acknowledge that investing in or trading cryptoassets carries inherent financial risks.