Binance Founder CZ Joins YZi Labs, Eyes Crypto, AI, and Biotech
Changpeng "CZ" Zhao, the founder and former CEO of Binance, is stepping into an "active role" at YZi Labs, the newly rebranded venture firm formerly known as Binance Labs. This move follows Zhao's recent four-month prison sentence in the U.S. on money laundering charges and signals a broader shift for the investment firm, which will now expand its focus beyond cryptocurrency to include artificial intelligence (AI) and biotechnology.
YZi Labs: A New Name and a Broader Investment Mandate
YZi Labs, a play on the names of its co-founders, is now operating as a "purely family office investment vehicle," according to a statement on Tuesday. The rebranding distances the firm from the Binance name as it diversifies its investment strategy. While the announcement mentions an "active role" for Zhao, his official title remains unclear, with the organization's website listing him as an "intern."
Binance Labs' Legacy: A Track Record of Crypto Investments
Ella Zhang, former head of Binance Labs, will also return to lead YZi Labs, reuniting with Zhao after their initial collaboration in launching Binance Labs in 2018. Under their leadership, Binance Labs became a major force in the crypto venture capital space, investing in notable projects like CertiK, Dune Analytics, Elrond, Injective, Nym, and Polygon.
Beyond Crypto: Exploring the Frontiers of AI and Biotech
The shift in focus for YZi Labs is significant. While remaining "steadfastly dedicated to advancing Web3 innovation," the firm will now also explore opportunities in AI and biotech. This expansion beyond crypto reflects a growing trend of diversification among prominent figures and firms in the digital asset space.
Binance's Past and CZ's Future
In late 2023, Binance pleaded guilty to violating the Bank Secrecy Act and failing to register as a money-transmitting business, resulting in a $4 billion settlement with the U.S. Department of Justice. Zhao also pleaded guilty to failing to maintain effective anti-money laundering practices, leading to his resignation from Binance and a $50 million fine.