Unlike many prominent cryptocurrency advocates, Binance’s CEO CZ thinks fiat currencies have a future.
Binance CEO Changpeng ‘CZ’ Zhao made some surprising comments on the cryptocurrency market lately. Using platform X on October 28th, he reaffirmed the permanence of fiat currencies for the foreseeable future. Notably, this view goes against the grain of what many prominent figures in the crypto space have been saying.
Moreover, CZ used an interesting comparison to illustrate his perspective. Like the tie, which evolved from a napkin, crypto won’t completely replace fiat currency, he said. This is why, he concluded, “Fiat won’t vanish in the near future. A tie is still ‘popular’ and widely used nowadays. Ties were not eradicated by napkins. The continuing discussion between fiat and cryptocurrency gains new insight from this point of view.
The opinion of the Binance CEO was not shared by all members of X. One participant agreed but raised the issue of the fast depreciation of fiat currencies. To add some humor, another user mentioned that the world record for the longest tie is 150 meters, remarking, “That’s longer than a football field.”
There’s been some other news floating around in addition to the crypto controversy. On October 27th, Cryptopolitan claimed that CZ’s wealth has significantly decreased. The figure has fallen from its all-time high of $96 billion in January 2022 to a still-impressive $17.2 billion. The sudden change reflects the inherent instability of the cryptocurrency market and its effect on participants.
CZ’s statements support the view that conventional monetary instruments like cash would persist despite the rise of cryptocurrencies in the market. Therefore, the continued development of the financial sector may lead to the eventual acceptance of crypto and fiat currencies living side by side.
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