Changpeng Zhao, the founder of Binance, stated that the US cannot win global crypto leadership through policy support alone.
Speaking at the DC Blockchain Summit, Zhao explained that while regulatory clarity in the U.S. is improving, structural inefficiencies continue to hinder it from being a dominant crypto hub. He cited increased trading fees and fragmented liquidity as significant challenges that drive liquidity to offshore markets.
From being overlooked to facing regulatory pressure—and now moving toward clearer rules and broader institutional adoption—CZ reflects on how crypto has evolved over the past decade.
And why he believes technological innovation will continue to push the industry further into…
— Wu Blockchain (@WuBlockchain) March 19, 2026
CZ points to market structure issues
Zhao said the U.S. already has solid institutional capital, venture capital, and a skilled workforce. However, he argued that these advantages are not enough to motivate leadership in digital assets without a competitive trading environment.
He added that previous regulatory pressure had led many crypto companies and founders to relocate to countries such as the UAE, Singapore, and Hong Kong. CZ further noted, “The U.S. is once again attracting talent.” However, Zhao stressed that rebuilding competitiveness involves more than regulation changes.
Moreover, he noted that U.S. users tend to incur higher transaction costs than their global counterparts. As a result, liquidity is spread among several regions and is not concentrated in the United States. At the same time, Zhao contended that competition is a form of consumer protection. Without sufficient market rivalry, the pricing is less favorable, and the efficiency is reduced. Therefore, he suggested that better access and lower friction will be key to bringing global liquidity back to U.S. platforms.
CZ rejects Iranian financing allegations
Zhao also addressed accusations linking Binance to transactions traced to Iranian financing networks. He rejected the claims, saying involvement in such activity would provide no business incentive.
He said he has “zero interest” in partaking in transactions linked to Iran, which he said would not generate meaningful fees for the platform. Zhao also noted that he lives in a nation with tensions with Iran, strengthening his position. He stated, “I live in a country that’s being attacked by Iran. Even before that, I was just not interested in that.”
In addition, Zhao cited recent U.S. court rulings dismissing civil lawsuits that claimed Binance had helped finance terrorism. According to him, those rulings showed a lack of evidence despite extensive claims presented in filings.
However, he argued that such legal outcomes received much less attention than earlier negative reports. Consequently, he suggested that media coverage still affects people’s perceptions despite court findings against initial stories.
Meanwhile, his financial status has also attracted attention, with recent Forbes Real-Time Billionaires data estimating Zhao’s net worth at $113 billion. However, during the interview, CZ questioned some recent narratives, citing Forbes as an example. He said the outlet portrayed him as becoming even richer over the past six months, which he called unrealistic.
