Changpeng Zhao, the founder and former CEO of Binance, has said the exchange’s valuation is closely linked to the broader cryptocurrency market, noting that it is difficult for the company’s value to rise when digital asset prices decline.
In a recent statement, Zhao explained that the performance of the world’s largest crypto exchange is heavily influenced by overall industry conditions. According to him, falling crypto prices typically lead to lower trading activity, which directly affects revenue generated through trading fees.
As a shareholder, I would love for Binance’s valuation to increase. But the fact is, Binance’s valuation can’t increase when crypto prices are down.
It can’t get simpler than that.
Stating the obvious:
Binance is the largest crypto exchange. It grows and shrinks with the… https://t.co/0UcrfxFijL
— CZ 🔶 BNB (@cz_binance) March 12, 2026
For BNB to reach $10,000, its total market valuation would need to rise dramatically, potentially into the trillion-dollar range, depending on the circulating supply. Such a valuation would place BNB among the largest digital assets in the market, rivalling leading cryptocurrencies like Bitcoin and Ethereum.
Crypto market cycles directly impact exchange revenue
Zhao noted that Binance’s growth and contraction mirror the broader crypto market cycle. During periods often described as “crypto winters,” trading volumes usually decline as market participation drops and asset prices weaken.
Lower trading volumes translate into reduced fee generation for exchanges that rely heavily on market activity. Binance, which processes a large share of global cryptocurrency trading, experiences the effects of these market cycles more visibly due to its scale.
The former CEO said this dynamic explains why stakeholders connected to the exchange naturally prefer an expanding crypto market with stronger asset prices.
Zhao rejects claims of market manipulation
Zhao also addressed suggestions that exchanges might benefit from pushing prices downward. He said Binance has no incentive to short-sell or suppress digital asset prices, stressing that higher market activity generally benefits the entire ecosystem.
Even after stepping away from day-to-day management of Binance, Zhao said he continues to advocate for the crypto industry globally, engaging with governments and policymakers to support blockchain adoption.
He also questioned recent estimates about his personal net worth tied to Binance’s valuation, suggesting that such calculations can be misleading when market conditions fluctuate.
Despite the attention around valuations and wealth rankings, Zhao emphasized that financial success alone does not define fulfillment, pointing instead to health, family, and positive societal impact as more meaningful long-term priorities.
Meanwhile, CZ publicly challenged a recent wealth estimate from Forbes that places his net worth at around $110 billion, arguing the calculation is inconsistent with market realities and flawed in its methodology.
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