{"id":853304,"date":"2025-06-04T09:12:27","date_gmt":"2025-06-04T14:12:27","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/06\/04\/binance-founder-cz-warns-of-bitcoin-treasury-risks-amid-growing-adoption\/"},"modified":"2025-06-04T09:12:27","modified_gmt":"2025-06-04T14:12:27","slug":"binance-founder-cz-warns-of-bitcoin-treasury-risks-amid-growing-adoption","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/06\/04\/binance-founder-cz-warns-of-bitcoin-treasury-risks-amid-growing-adoption\/","title":{"rendered":"Binance founder CZ warns of Bitcoin treasury risks amid growing adoption"},"content":{"rendered":"
\n

\"Binance Binance founder CZ warns of Bitcoin treasury risks amid growing adoption<\/span> Oluwapelumi Adejumo \u00b7<\/span> 14 hours ago<\/span> \u00b7 2 min read<\/span> <\/span> <\/span> <\/span> <\/span><\/p>\n

\n
\n

CZ urged companies to assess risks wisely amid the rising trend of Bitcoin adoption for treasuries.<\/p>\n

\n
\n

<\/a><\/p>\n<\/div>\n

\n

2 min read<\/span><\/p>\n

Updated:<\/span> Jun. 4, 2025 at 8:36 am UTC<\/span><\/p>\n<\/div>\n<\/div>\n<\/div>\n

\n

\"Binance<\/p>\n

Cover art\/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.<\/p>\n<\/div>\n<\/div>\n

\n

Changpeng Zhao<\/a>, founder and former CEO of Binance<\/a>, has urged companies adopting\u00a0Bitcoin<\/a> as a treasury asset to fully understand the risks involved with the top crypto.<\/span><\/p>\n

In a June 3 post<\/a> on X, Zhao acknowledged that risk is an unavoidable part of doing business, but emphasized the importance of assessing and managing it properly.<\/p>\n

According to him:<\/p>\n

\n

\u201cEvery company takes risks. Risks are not binary like 0 or 1. Risks are a range from 0 \u2013 100.\u201d<\/p>\n<\/blockquote>\n

He added that failing to take risks may be just as dangerous as taking too much, suggesting that avoidance can lead to missed opportunities or unpreparedness for future shocks.<\/p>\n

Meanwhile, Zhao emphasized that risk isn\u2019t inherently negative if approached wisely, saying:<\/p>\n

\n

\u201cWith the right balance, you can achieve the best risk\/ROI ratio that works for you.\u201d<\/p>\n<\/blockquote>\n

When asked how companies can prepare for worst-case scenarios, Zhao pointed to potential financial collapses, such as a currency losing all value or Bitcoin going to zero, as events businesses must be prepared to endure.<\/p>\n

He noted<\/a>:<\/p>\n

\n

\u201cExtreme cases are not that extreme [in real life]. They happen.\u201d<\/p>\n<\/blockquote>\n

Zhao\u2019s comments follow a wave of companies adopting Bitcoin as a treasury asset.<\/p>\n

According to Bitcoin Treasuries data<\/a>, over 200 firms now hold Bitcoin, with notable additions like Trump Media<\/a> and GameStop<\/a> recently joining the ranks<\/a>.<\/p>\n

According to data compiled by Hodl15Capital, the top 100 holders collectively control more than 814,000 BTC. Strategy<\/a> (formerly MicroStrategy) remains the largest institutional holder, with over 580,000 BTC under management.<\/p>\n

Why Bitcoin treasuries are gaining popularity<\/strong><\/h2>\n

Market observers have explained that this shift is driven by Donald Trump\u2019s<\/a> pro-Bitcoin administration and the belief that the top crypto offers protection against counterparty risk and currency instability.<\/p>\n

Crypto firm River explained<\/a> that holding Bitcoin allows firms to minimize reliance on third parties, especially if they opt for self-custody or work with custodians that don\u2019t lend out assets or only issue overcollateralized loans.<\/p>\n

\"Bitcoin
Bitcoin Reserve Pros and Cons (Source: River)<\/figcaption><\/figure>\n

The firm also pointed out that Bitcoin is a valuable tool for multinational companies operating in various currencies. According to River, a Bitcoin treasury can act as a bridge asset, reducing the friction and costs of cross-border transactions.<\/p>\n

At the same time, River stated that BTC can act as a defensive asset during low-interest or inflationary periods. The firm noted that Bitcoin\u2019s capped supply and predictable issuance give it a unique advantage in preserving long-term value, unlike fiat currencies, which are vulnerable to debasement.<\/p>\n

Mentioned in this article<\/h6>\n
\n
Latest US<\/span> Stories<\/h5>\n<\/div>\n
\n
Latest Bitcoin<\/span> Stories<\/h5>\n<\/div>\n
\n
\n
Press Releases<\/h5>\n<\/header>\n<\/div>\n<\/div>\n<\/div>\n

Read More<\/a>
\n Oluwapelumi Adejumo<\/p>\n","protected":false},"excerpt":{"rendered":"

Binance founder CZ warns of Bitcoin treasury risks amid growing adoption Oluwapelumi Adejumo \u00b7 14 hours ago \u00b7 2 min read CZ urged companies to assess risks wisely amid the rising trend of Bitcoin adoption for treasuries. 2 min read Updated: Jun. 4, 2025 at 8:36 am UTC Cover art\/illustration via CryptoSlate. Image includes combined<\/p>\n","protected":false},"author":1,"featured_media":853305,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22426,1479],"tags":[],"class_list":{"0":"post-853304","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-binance","8":"category-founder"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/853304","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=853304"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/853304\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/853305"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=853304"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=853304"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=853304"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}