TLDR
- Changpeng Zhao is considering opening his $10B investment vehicle to outside capital in the future.
- YZi Labs, the firm spun out of Binance, currently manages Zhao’s wealth and funds from early Binance executives.
- YZi Labs focuses on investments in crypto, AI, and biotech, with plans to expand its team and expertise.
- The firm returned part of the $300 million it raised from external investors in 2022.
- CEO Ella Zhang emphasized that opening to outside capital would be a significant responsibility.
Changpeng Zhao, the co-founder of Binance, is considering opening his $10 billion investment vehicle to external capital at a later stage. YZi Labs, the firm spun out of Binance in January, is currently evaluating the timing for such a move. The firm has primarily managed Zhao’s wealth, alongside funds from a select group of early Binance executives.
YZi Labs Focuses on Crypto, AI, and Biotech Investments
YZi Labs is focusing on investments in crypto start-ups, biotech, and AI. In 2022, the firm accepted about $300 million in external investments, only to return part of that money later. CEO Ella Zhang stated that while potential investors are steadily interested, the firm’s immediate priority is hiring talent and building expertise in AI and biotech.
Zhang emphasized that any future move to open the firm to outside capital would carry significant responsibility. She pointed out that the firm’s internal capabilities must mature before they consider this shift. YZi Labs is currently operating with a 12-person team, taking a long-term view on investments without focusing on annual performance targets.
According to FT, Binance founder CZ’s $10B investment firm YZi Labs is considering opening to external investors and may convert into a public fund. Head Ella Zhang said investor interest is strong but the firm remains in early stages. She noted SEC Chair Paul Atkins requested a…
— Wu Blockchain (@WuBlockchain) September 23, 2025
Regulatory Challenges and Potential Shift in US Stance
If YZi Labs were to admit US investors, it would face increased regulatory scrutiny. However, recent changes in the policy landscape, including a more favorable stance towards digital assets, may ease some of these concerns. Zhang highlighted that regulators in the US have shown renewed interest in the firm’s portfolio, with the SEC requesting a private showcase for its projects.
The firm’s focus on long-term investment horizons reflects Zhao’s vision for his capital, avoiding short-term pressures. Zhao’s wealth stems from his majority stake in Binance, which he co-founded in 2017. However, the company has faced regulatory challenges, including a guilty plea for violating anti-money laundering and sanctions laws in 2023.
Changpeng Zhao Pushes for Innovative Crypto Treasury Structures
Zhao has been exploring innovative ways to deploy large capital pools, particularly through crypto treasury structures. YZi Labs has supported deals that use public companies to raise funds for token purchases. One example includes a planned $1 billion transaction with former Bitmain executives.
Zhao’s approach to investing aims to balance the need for growth with quality control. Digital assets currently make up around 70% of YZi Labs’ portfolio, though interest in AI and robotics is growing. The firm’s long-term vision is to support promising projects in these sectors, building a diversified portfolio that reflects Zhao’s strategic focus.
