Binance co-founder Changpeng “CZ” Zhao has refuted reports suggesting he was the driving force behind a proposal to create a crypto-friendly private bank in Kyrgyzstan, a nation where he is providing advisory services.
These rumors surfaced after Kyrgyzstan President Sadyr Japarov informed the Kabar news agency that Zhao had visited the country in May and proposed a collaborative effort to establish a private bank that would also handle cryptocurrency transactions. Japarov stated that while he would have preferred a state-owned bank, Zhao rejected this idea, leading to an agreement to open a private bank, which ultimately resulted in the establishment of Bereket Bank.
Changpeng Zhao Refutes Bank Proposal Claims
However, CZ has publicly denied Japarov’s assertions. In a post on X (formerly Twitter) on Monday, the former Binance CEO stated that he was not behind the proposal and has no desire to manage a bank.
“This isn’t correct. Not quite 4 FUD level, but still wrong. I never proposed creating a bank myself. While I support banks working with crypto generally, I have no interest in running one. I don’t recognize the name mentioned below. It’s not something I proposed.”
He further clarified, "I might have said something like ‘I wish there to be as many digital banks supporting crypto as possible.’”
CZ's Advisory Role in Kyrgyzstan
Despite denying involvement in the private bank proposal, CZ confirmed in April that he is advising Kyrgyzstan on blockchain and crypto-related regulation and technology. This advisory role followed the signing of a memorandum of understanding with Kyrgyzstan’s foreign investment agency.
He also participated in the second meeting of the National Council for the Development of Virtual Assets and Blockchain Technologies alongside President Japarov. During this meeting, it was announced that Kyrgyzstan had launched a new stablecoin pegged 1:1 to the Kyrgyzstani som, operating on the BNB Chain. The announcement also indicated that BNB would be included in the crypto reserve if it were to be launched.