Binance has appointed co-founder Yi He as head of Binance Labs to lead the company’s investments, including its aggressive approach to on-line acquisitions.
However, Binance will only buy or fund struggling crypto companies that have good products and are well managed.
To that effect, Binance has “more dry powder” than any competitor in the crypto space.
Binance CEO Changpeng ‘CZ’ Zhao said his crypto firm is well-capitalized and ready to make acquisitions if they help the market, confirming to Yahoo Finance Live on Wednesday. Did. interview Binance has “a lot of dry powder” for that purpose.
CZ also commented on the broader crypto regulatory environment, the delisting of the Amp (AMP) token by Binance.US, and recent hacks. His statement comes after his Nomad bridge and layered blockchain Solana exploits this week.
Binance Eyes Acquisition
In the midst of crypto winter, several crypto companies have struggled in the past few months, and one of the companies taking an aggressive approach to acquisition was FTX.
Bankman-Fried’s FTX and Alameda have combined over $1 billion in deals, including the potential acquisition of crypto lender BlockFi. The crypto billionaire empire is even proposing to take the beleaguered Voyager Digital assets.
So with the crypto industry navigating a bear market, does Changpeng Zhao’s Binance have a similar outlook?
According to the Binance chief, that’s exactly what they’re trying to do. He told Yahoo Finance Live:
“We have a lot of dry powder…more dry powder than almost anyone we know in the universe.So we want to use it to make acquisitions”
As such, Binance has plenty of cash or other liquid sources to invest in as the market weathers the “winter.”
However, CZ is quick to say that most of the troubled crypto companies in the industry today are “poorly managed,” pointing out that this is why Binance is unlikely to try to acquire them. However, if theseWell managed, with great products, but short on cash,” Then Binance will be ready to acquire them.
To the effect that his company is working on acquisitions in the industry, Zhao pointed out: schedule Binance Co-Founder Yi He of Binance Labs A venture capital arm that currently manages over $7.5 billion in assets.
Yi will help Binance aggressively pursue some investments in the short term, Zhao explained.