Binance founder Changpeng “CZ” Zhao has witnessed a staggering surge in wealth despite his recent guilty plea to U.S. criminal charges and subsequent resignation as the CEO of the cryptocurrency exchange. The Bloomberg Billionaires Index reported that Zhao’s estimated wealth ballooned by over $23 billion in the year 2023, positioning him as a top gainer among crypto entrepreneurs.
Binance’s Zhao Outshines Armstrong & Winklevoss In 2023 Gains
According to the report, the windfall comes at the close of a year marked by Bitcoin’s remarkable 160% rebound following the market collapse of 2022. Zhao now stands atop a list of cryptocurrency magnates, overshadowing even Coinbase Global Inc. CEO Brian Armstrong and the Winklevoss twins, whose fortunes also experienced substantial rebounds.
Campbell Harvey, a finance professor at Duke University specializing in digital-asset markets, emphasized the volatile nature of crypto investments, noting that successful investors weather the spectacular ups and downs by focusing on long-term opportunities.
Despite Zhao’s impending legal troubles, including a guilty plea for anti-money laundering and U.S. sanctions violations, his fortune has surged to over $37 billion. This increase is more than five times the size of the $4.3 billion in fines that Binance agreed to pay U.S. authorities, demonstrating the resilience of the crypto exchange.
Zhao, who owns a controlling stake in Binance and holds some Bitcoin and BNB, faces a potential prison sentence of up to 10 years. However, a plea deal may limit his time behind bars to no more than 18 months. Zhao’s sentencing is scheduled for February 23, and despite his current wealth, it remains far below its peak of nearly $97 billion in early 2022.
Other notable crypto winners in 2023 include Coinbase CEO Brian Armstrong, whose wealth increased by $5.8 billion, and Coinbase co-founder Fred Ehrsam, whose estimated wealth swelled by $1.8 billion. The Winklevoss twins, founders of the Gemini Trust crypto exchange, saw their wealth balloon by $1.4 billion each. However, these entrepreneurs navigate legal challenges and regulatory scrutiny. Though subject to fluctuations, their fortunes reflect the resilience and dynamism of the cryptocurrency landscape.
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