Former Binance CEO Changpeng “CZ” Zhao said China would be one of the countries to adopt a strategic Bitcoin reserve, possibly following in the footsteps of a plan proposed by the incoming United States presidential administration.
Speaking at the Bitcoin MENA conference in Abu Dhabi on Dec. 9, Zhao said he believed “smaller countries” would likely be the first to adopt a Bitcoin (BTC) reserve, but the change could happen slowly. The former Binance CEO added that China’s position on crypto was “harder to predict” given the lack of transparency from its government.
“Trump has not gotten into office yet, and the strategic Bitcoin reserve has not been activated yet, so I think as soon as that actually happens, we’ll see what other countries do,” said Zhao.
Changpeng Zhao speaking at the Bitcoin MENA event in Abu Dhabi on Dec. 9. Source: Cointelegraph
CZ, who grew up in China, said the country could “move really, really fast” on policies if it wanted. He added he hadn’t seen any evidence the government was hoarding Bitcoin, but it was “inevitable” for it to establish a strategic reserve:
“I’d be shocked if [the Chinese government] announced something and then do it — I’d be much less surprised if they accumulate and then announce [...] They have to do it at some point because it’s the only ‘hard’ asset.”
Which country will be the first to build a BTC reserve?
Establishing a “strategic national Bitcoin stockpile” was one of President-elect Donald Trump’s campaign promises to attendees at a July crypto conference. Critics of the plan have suggested that it would only benefit BTC holders by likely causing the price to increase if the US government purchases and holds 1 million coins.
Related: Trump’s BTC reserve plan would be a ‘bad deal‘ — Ex-NY Fed president
Zhao was released from US federal prison in September. He served four months after pleading guilty to violating the country’s Anti-Money Laundering laws.
As part of his agreement with Binance after stepping down as CEO in November 2023, Zhao will not have any part in managing or operating the crypto exchange in the future. His felony charge also restricts him from certain business activities, but he hinted that Trump could pardon him after taking office on Jan. 20.
Magazine: ‘China’s MicroStrategy’ Meitu sells all its Bitcoin and Ethereum: Asia Express