Binance Founder CZ’s Continuing Influence on BNB Chain
Although Binance founder Zhao Changpeng (CZ) no longer holds any position within Binance, his influence on Binance, BNB, and BNB Chain remains undiminished. Since the beginning of this year, under CZ’s influence, BNB Chain has gradually become a hot spot for retail investors. This article will summarize a series of influential events that CZ has brought to BNB Chain recently.
Background: BNB Chain’s Trading Volume Surpasses SOL and ETH
In November 2023, Binance, the world’s largest cryptocurrency exchange, reached a settlement with the U.S. Department of Justice, the Commodity Futures Trading Commission (CFTC), and other institutions, agreeing to pay a hefty fine of $4.3 billion. During this time, CZ also admitted to violating U.S. anti-money laundering laws, resigned from his role as CEO of Binance, and was sentenced to four months in prison by the U.S. District Court in Seattle. After serving four months in prison, CZ was officially released at the end of September last year.
Although CZ no longer holds any position at Binance, aside from his shareholder role, it is undeniable that his influence on Binance, BNB, and BNB Chain remains significant. As a result, since the start of this year, under CZ’s influence, BNB Chain has increasingly become a hotspot for retail investors. This article will summarize a series of impactful events CZ has brought to BNB Chain recently.
CZ Shares Binance Chain Meme Coin TST
The meme coin craze has been exceptionally hot in this bull market, with numerous meme coins on Solana reaching astronomical returns, including hundreds, thousands, and even ten-thousand-fold gains. In early February, CZ shared a meme coin, TST, which was initially leaked as a test coin on the social media platform X. The coin quickly gained community attention and was soon listed on Binance’s spot trading market, with its market capitalization briefly exceeding $450 million.
CZ Shares His Pet Dog Broccoli
Shortly after the TST boom, CZ interacted with the community on platform X, admitting that he owned a pet dog. Upon community request, he eventually revealed details about his dog, Broccoli. This led to the rapid creation of a meme coin named after the dog, and Binance’s Alpha zone quickly listed this meme coin. The BNB Chain team also responded swiftly, launching a community incentive program.
Although Broccoli faced criticism from the community in multiple areas, CZ successfully leveraged his pet to attract the community’s attention to BNB Chain once again.
The Middle Eastern-Themed Meme Coin Mubarak Gains Popularity
Recently, while meme coins on other public chains like Solana have cooled down, Binance Chain has once again been favored by investors due to meme coins. The event unfolded on March 12, when Binance announced it had secured a $2 billion investment from Abu Dhabi-based investment firm MGX, setting three historical records:
- The largest single investment ever made in a cryptocurrency company;
- The largest investment ever made using cryptocurrency (stablecoin);
- Binance’s first institutional investment.
Following this announcement, Binance’s Chinese-language X account posted a comic image with strong Middle Eastern elements, which CZ subsequently shared, commenting “Mubarak” (meaning blessing). This quickly became a meme within the community, leading to the rise of a meme coin of the same name on Binance Chain, briefly pushing its price to millions of dollars.
However, drama unfolded when, on March 16, CZ deleted tweets related to the Mubarak and other Middle Eastern-themed topics, triggering a sharp decline in the coin’s value. But the plot took another twist when CZ later spent 1 BNB to buy TST and Mubarak meme coins on-chain, stating that he was “just doing some testing.” This action led the market to reassess the meme coin’s value, and within a short time, its market capitalization surged to $200 million. Some community members remarked that this was now the top meme coin on BNB Chain, and CZ had truly mastered the meme coin game.
Binance Fully Supports On-Chain Transactions
Moreover, Binance has shown strong support for on-chain transactions. On March 17, Binance announced that it would take action against the long-standing issue of sandwich attacks on BNB Chain. If such incidents occur again, users can apply for full compensation within a limited time. Additionally, on March 18, Binance officially launched Alpha 2.0, expanding integration between centralized exchanges (CEX) and decentralized exchanges (DEX). Through Alpha 2.0, users can now directly purchase tokens that were previously only available in Binance Wallet’s Alpha zone, within the Binance exchange itself. The advantages include:
- Seamless purchase of on-chain tokens: Users no longer need to withdraw assets to an external wallet or create a new on-chain wallet, allowing them to complete on-chain token transactions directly within Binance exchange.
- Increased flexibility in fund usage: Users can trade Alpha tokens directly using funds from their Binance spot or fund accounts without needing additional transfers, enhancing fund utilization flexibility.
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