- A forensic investigation by Gray Wolf Analytics and Forbes reveals that Binance founder Changpeng Zhao significantly increased his wealth by owning numerous BNB tokens.
- CZ reportedly controls a substantial portion of the circulating supply of BNB tokens.
- Amid these revelations, metrics indicate a decline in BNB’s social dominance.
Discover How Binance’s Founder Has Amassed a Fortune Through BNB Tokens and What It Means for the Future of the Cryptocurrency.
Insights on CZ’s Wealth and BNB Control
BNB, the native token of crypto exchange Binance, offers platform users transaction fee discounts. The digital asset has a maximum supply capped at 200 million tokens, with over 147 million currently circulating. Intriguingly, the token’s price has surged over twofold since the beginning of the year, recently hitting a new all-time high (ATH) of $720.
Despite Zhao’s reluctance to publicly disclose his BNB holdings, the initial coin offering (ICO) whitepaper from 2017 allocated 80 million tokens to the founding team. Analyses indicate that Binance retains 46.2 million of these tokens, and Zhao, who owns 90% of Binance, is estimated to control around 41.6 million BNB tokens.
Further investigations by Forbes suggest that Zhao increased his BNB assets through additional channels. During the ICO, only 10.8 million BNB were sold out of the 100 million initially demanded, with the unsold tokens, approximately 58 million BNB, allegedly transferred to Zhao’s wallets. Hence, based on his 90% ownership, Zhao presumably controls about 52 million of these tokens. Therefore, combining the initial team reward and unsold tokens, Zhao’s total BNB holdings are close to 94 million. Consequently, Forbes estimates Zhao’s substantial holdings elevate him to the position of the world’s 24th richest individual, with an estimated net worth of $61 billion.
The Next Chapter for BNB
Crypto analyst Victor Olanrewaju examines BNB’s metrics to derive future price predictions. Currently, the altcoin’s social dominance stands at 0.617, which tracks interest and engagement based on social media and crypto media discussions. This decrease signals dwindling community interest and interaction with BNB, suggesting that heightened demand likely necessary for higher prices is currently absent.
Furthermore, Open Interest (OI) has diminished to $473.46 million at the time of writing. OI measures the total value of outstanding contracts for a cryptocurrency. An increase typically signals rising speculative activities, often serving as a bullish indicator. Conversely, a decrease in BNB’s speculative positions suggests it might struggle to achieve significant price jumps. Therefore, a decline to fundamental support levels appears probable for BNB unless buying pressure intensifies, potentially altering the trend.
Conclusion
In summary, the in-depth investigation into Binance founder Changpeng Zhao’s wealth accumulation highlights his substantial control over BNB tokens. The findings shed light on his strategic acquisitions and the transparency surrounding his holdings. However, BNB’s current metrics suggest a challenging path ahead with dwindling social interest and decreased speculative activity. Whether increased buying pressure can reverse this trend remains to be seen, providing a compelling narrative for investors and enthusiasts to follow.
