CZs Net Worth Update The Percentage of Binance Coin BNB Owned by CZ
An exclusive report by Forbes on June 14 revealed that Changpeng Zhao (CZ), the founder of Binance, owns a remarkable 64% of the circulating supply of BNB Chain (BNB), previously known as Binance coin. Forbes estimates that CZ’s net worth is $61 billion, making him the 24th richest person in the world, following Julia Koch and her family.
The report, conducted in partnership with Gray Wolf Analytics, uncovered that CZ acquired his BNB holdings through two main methods. Initially, he and the founding team received 80 million tokens from the total supply of 200 million BNB during Binance’s inception in 2017. Forbes’ analysis of the wallets that received these tokens suggests that the company currently holds 46.2 million of the original 80 million tokens.
Furthermore, a subsequent investigation by Forbes and Gray Wolf in October 2023 revealed that Binance’s initial coin offering (ICO) was undersubscribed. As a result, CZ and his company transferred unsold shares into wallets under his control. These wallets now contain an estimated 58 million BNB, valued at $35 billion at current prices. Taking into account CZ’s 90% ownership of Binance, he would have acquired over 52 million additional BNB from this source.
Forbes believes that CZ owns close to 94 million BNB tokens in total, but the report applied a 50% liquidity discount to his stake due to the difficulty he would face in realizing the full value if he attempted to sell. BNB’s daily trading volume is approximately $1.6 billion worth of tokens.
Despite CZ’s admission of guilt and settlement with the U.S. Department of Justice in 2023, which included a $50 million fine and his resignation as CEO, Binance’s dominance in the cryptocurrency exchange market has only strengthened. According to The Block, its share of the total spot market has increased to 42% in the six months since his departure, up from an average of 38% in the two months prior to his settlement.
While serving his four-month sentence at California’s Lompoc II federal correctional facility, BNB has experienced a significant surge in 2024, rising by 100% and outperforming other major cryptocurrencies such as Bitcoin (BTC), Ether (ETH), and Solana (SOL). This surge has contributed significantly to CZ’s expanding net worth, now standing at $61 billion according to Forbes’ net worth index.
The report also points out the lack of transparency regarding Binance’s operations, as the company has never undergone an audit. Additionally, over 53% of all BNB trading takes place on Binance’s own exchange, raising concerns about the token’s actual liquidity and value.
Despite these issues, CZ continues to amass wealth as he witnesses his BNB fortune grow while incarcerated. The former CEO’s journey serves as a reflection of the cryptocurrency industry’s unpredictable and often controversial nature.
