Binance CEO Changpeng Zhao (CZ) has pledged $1 billion in relief funds to illiquid crypto companies. He also confirmed a bid for Voyager, dismissing rumors of regulatory concerns and noting that these may have been spread by the now-bankrupt FTX.
Bankrupt cryptocurrency lender Voyager was left without a buyer when a $1.4 billion deal with FTX fell through. Sam Bankman-Fried’s FTX went bankrupt before the deal could be finalized.
When asked about possible regulatory concerns about the offer, he turned it down. He said that Binance has acquired several companies in the US without issuance.
"I think the US national security concerns were rumors spread by FTX to try to push us out of the bid," said CZ, referencing an earlier bid that FTX won.
"We are not related to China at all. I have to repeat this many times just because I look Chinese, but I've been Canadian for 30 years," CZ said.
The Voyager offering was just a small part of Binance’s efforts to reduce infection in the crypto industry. In addition to bidding for Voyager, CZ has also pledged at least $1 billion to the crypto industry relief fund.
“We are going with a loose approach where different industry players will contribute as they wish,” CZ said, adding that he will give out more details soon.
The relief fund will be used to provide liquidity and capital to companies affected by the FTX crash.
early, CZ Books That the fund aims to reduce infection from the collapse of FTX. It also specified that the fund would “help projects that are otherwise strong, but in a liquidity crisis.”
The cryptocurrency industry remains at risk of infection from the FTX crash, and the relief fund could help boost investor confidence.