tl;dr
Binance founder CZ denies a Financial Times report claiming his family office, YZi Labs, is seeking external investors, calling the story 'made-up info' and emphasizing the firm's private status. The dispute highlights tensions between Zhao's personal ventures and media scrutiny amid ongoing regulat...
**CZ Denies FT Report: YZi Labs Isn’t Seeking External Investors, Says Binance Founder**
Binance’s founder, Changpeng “CZ” Zhao, has publicly dismissed a *Financial Times* report claiming his family office, YZi Labs, was exploring raising capital from outside investors. In a social media post, Zhao called the story “made-up info and negative narratives,” emphasizing that YZi Labs remains a private vehicle for his personal wealth with no plans to open to external backers.
The *FT* article, which cited YZi Labs CEO Ella Zhang, suggested the firm might evolve into a fund for third-party investors as its operations mature. Zhao refuted this, stating there is no “demo, pitch deck, or fundraising roadmap” for the entity. He added that since its rebranding earlier this year, YZi Labs has not engaged with regulators, financial figures like former SEC Commissioner Paul Atkins, or sought outside capital.
Zhao also criticized the outlet for misrepresenting his legal history. While he acknowledged a U.S. plea deal tied to anti-money laundering (AML) failures at Binance, he stressed it was not related to theft or fraud. “I didn’t read the article myself because of the paywall, but social media commentary made it clear,” he wrote, highlighting the growing tension between his personal ventures and the media’s scrutiny.
**YZi Labs: A Private Playbook**
YZi Labs, founded in January 2024, was created to manage Zhao’s personal wealth after he stepped down as Binance’s CEO in November 2023 as part of a $4.3 billion settlement with U.S. authorities. Co-run with Binance co-founder Yi He, the firm has been scouting investments in Web3 startups, artificial intelligence, and biotechnology. Despite its ambitions, the office has faced intense scrutiny due to Zhao’s ongoing regulatory battles and Binance’s dominant role in crypto markets.
Zhao clarified that YZi Labs is not “spun out” of Binance, countering the *FT*’s implication of a broader restructuring. The firm’s independent status underscores his effort to separate his personal investments from Binance’s compliance challenges, which continue to shadow the exchange.
**A Battle for Narrative Control**
The dispute reflects broader tensions in the crypto world, where figures like Zhao navigate legal hurdles, media skepticism, and public perception. YZi Labs’ activities—ranging from high-stakes tech bets to private wealth management—highlight the blurred lines between personal ambition and institutional legacy.
As the crypto industry grapples with regulation and innovation, Zhao’s insistence on maintaining control over YZi Labs signals a strategic move to rebuild trust and autonomy. But with media outlets like the *FT* scrutinizing every step, the path forward remains fraught with both opportunity and controversy.
For investors and observers, the episode underscores the volatile intersection of finance, law, and reputation in the digital asset space—where even a single report can spark a firestorm.