Binance founder Changpeng Zhao, or CZ, said many projects that later disappoint investors after listing on Binance reflect a broader market pattern rather than a crypto-specific anomaly.
Speaking on the "When Shift Happens" podcast, CZ said that in any market or industry, most projects ultimately fail when viewed across the full universe of launches. He pointed to the internet sector as an example, saying millions of companies once emerged, but only a few hundred may be considered truly successful today, and only a very small number have had major influence. He said the artificial intelligence sector could end up showing a similar outcome. At the same time, he noted that the small minority of successful projects can become extremely successful.
Public access should not be blocked by accredited-investor rules
CZ also discussed the fact that public token offerings can give retail investors early access while also exposing them to losses. He said that openness carries both advantages and drawbacks.
He said he does not agree with using accredited-investor restrictions to prevent ordinary people from participating in early-stage investments. In his view, that approach can deprive some people of the chance to benefit from early investment returns. His personal philosophy, he said, is to provide the public with access to investment opportunities and the education needed to understand them, then let investors make their own decisions.
Retail can profit, but hype should not drive the market
CZ said retail investors can make money in crypto, but added that the market needs balance. If projects attract investors through false promises, excessive promotion, or language that is easy to misunderstand, they may make money in the short run while damaging user interests.
He said the industry should encourage founders to act more responsibly, help users learn how to evaluate projects, reduce reliance on market heat and marketing, and place greater weight on fundamentals. He also said disclosure-related regulation should improve over time.
According to CZ, projects that depend on aggressive marketing for short-term gains are unlikely to last. The platforms and projects that can keep developing over time, he said, will be those built steadily and supported by real fundamentals, with the market itself acting as a filtering mechanism.