KUALA LUMPUR: Crypto’s wealthiest figure, Changpeng Zhao, better known as “CZ,” made a spirited appearance at the Ritz-Carlton Kuala Lumpur on Tuesday, just months after completing a sentence in a low-security California prison. His focus now? Advising governments on shaping more progressive, innovation-friendly crypto regulations.
“How many are regulators or from regulatory backgrounds here? OK, not many. So we’re safe,” Zhao joked to a full house, signalling a more relaxed tone but underlining a serious mission.
Zhao’s renewed public presence marks a dramatic turn from his 2023 guilty plea to anti-money laundering violations that, according to US officials, allowed criminal groups and terrorist organisations to exploit Binance. In the aftermath, he stepped down as CEO, paid a US$50 million fine, and pledged to focus on investments with “impact” over returns.
Now, he is taking a more active role in policy advisory, recently appointed as an adviser to Pakistan and Kyrgyzstan. His Tuesday meeting with Malaysian Prime Minister Anwar Ibrahim centred on the country’s potential to become a regional crypto hub.
“I always encourage governments to take a more relaxed approach,” Zhao said, citing crypto-friendly jurisdictions like Dubai and Bahrain as regulatory models.
Shifting Global Mindsets
Zhao highlighted how the shift in the United States’ political climate under a more crypto-positive Trump administration has influenced global regulatory strategies.
“With the US being so pro-crypto right now, all other governments need to be slightly more competitive to retain talent, attract funds, and draw investment,” he said. “I encourage most governments to be a little more progressive than the US.”
A Wall Street Journal report recently claimed that Trump family representatives had discussed taking a stake in Binance’s US arm—though Zhao’s spokesperson denied such talks. Nevertheless, Zhao has reportedly lobbied for a presidential pardon.
Binance’s History in Malaysia
Binance’s track record in Malaysia has been turbulent. In July 2021, the Securities Commission Malaysia reprimanded the exchange and Zhao for operating illegally in the country. Since then, Binance has recalibrated its local approach, including taking a minority stake in Malaysian crypto exchange MX Global, which co-hosted Tuesday’s event.
Prime Minister Anwar, who met Zhao and Abu Dhabi officials earlier this year, has advocated for transforming Malaysia’s financial ecosystem by embracing blockchain and digital assets.
“We must move away from outdated business models and the antiquated financial system,” Anwar stated on social media.
He reaffirmed that the government is open to continued engagement with Bank Negara Malaysia, the Securities Commission, and the Digital Ministry to explore responsible innovation in the sector.
What’s Next for CZ?
Following his legal troubles, Zhao has pledged to channel his wealth and expertise into philanthropic and educational efforts. His latest project, Giggle Academy, aims to offer free online education, particularly to children in emerging markets like Africa.
He envisions the platform enabling children to gain employment skills from the age of 14, though the proposal has raised concerns about child labour laws.
“We don’t want to violate any laws about working age,” Zhao clarified. “Giggle doesn’t offer jobs today, but we plan to in the future. We’re also open to working with labour ministries to determine what’s appropriate.”
Meanwhile, Binance Labs has been restructured into YZi Labs, now focused on managing the personal investments of Zhao and co-founder Yi He.–BLOOMBERG
