Changpeng “CZ” Zhao, founder and former CEO of Binance, has dismissed Central Bank Digital Currencies (CBDCs) as “outdated,” arguing that stablecoins have overtaken them in relevance and adoption.
Speaking at the WebX conference in Tokyo on August 25, Zhao emphasized that governments worldwide are shifting focus toward stablecoins, citing growing regulatory frameworks supporting their use.
He pointed to developments such as Hong Kong’s Stablecoin Ordinance and the recently introduced GENIUS Act in the United States as evidence of this global momentum. “Central Bank Digital Currencies are already outdated. In contrast, stablecoins are gaining more attention,” Zhao said in his keynote.
Honored to speak on stage just before the PM. ???? https://t.co/rZsJ2BpeqR
— CZ ???? BNB (@cz_binance) August 25, 2025
According to Zhao, stablecoins enjoy stronger market acceptance because they are backed by tangible collateral and practical support, unlike CBDCs, which he argued have struggled to gain traction. He also noted that even governments historically skeptical of digital assets, such as China, are now exploring stablecoin initiatives including a potential yuan-pegged token to counter the dominance of U.S. dollar-backed stablecoins.
While CBDC projects have been in motion since as early as 2013, many have failed to progress beyond pilot stages. Only a handful, including the Bahamas’ Sand Dollar, Nigeria’s eNaira, and Ghana’s e-Cedi, have reached limited adoption. Even so, the European Central Bank remains committed to launching a digital euro by October 2025.
Zhao highlighted that at least ten countries have already abandoned CBDC plans due to high costs, testing hurdles, and limited retail demand. Nations such as Japan, Denmark, Finland, Singapore, South Korea, and the U.S. have either paused or dissolved their projects, opting instead to back stablecoin development.
Most recently, the Bank of England signaled it may shelve its digital pound initiative, with regulators encouraging banks to focus on alternative payment innovations such as tokenized deposits.
Industry forecasts reflect the same trend. Standard Chartered earlier this year projected the stablecoin market could expand from its current $260 billion valuation to $2 trillion, underscoring its potential to eclipse CBDCs as the preferred digital currency model.
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