CBDCs are not a threat to crypto, says Binance boss

Binance CEO Changpeng "CZ" Zhao says there is room for CBDCs and crypto, and that 'he doesn't see it as a threat to his company or the industry.

Binance CEO Changpeng “CZ” Zhao appears to have softened his stance on central bank digital currencies (CBDCs), telling a conference he doesn’t believe CBDCs pose a threat to his business. business or the crypto industry.

CZ spoke at the Web Summit in Lisbon on November 2 about CBDCs and their role in the crypto industry.

The Binance boss said CBDCs would validate blockchain technology and build trust among those who care about the technology, commenting, "I really think the more we have, the better."

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He also added that governments adopting blockchain would be seen as a good thing, however, he noted that blockchain does not equate to crypto which he called "deflationary", according to Reuters.

CZ's comments appear to have softened from his previous stance on CBDCs.

Last year he said they would never offer the same freedom as cryptocurrencies such as Bitcoin and Ethereum. “Most of the central bank digital currencies are going to come under significant scrutiny,” he said at the time.

Central banks around the world are racing to research, pilot and deploy their CBDCs, with China seen by some as leading the race.

However, there are still fears that a programmable digital currency will give central banks unprecedented control over which groups of citizens can use it and what they can spend it on.

Cointelegraph has previously noted that citizens who want less government involvement in their financial lives may encounter issues with CBDCs.

Last month, political commentator Peter Imanuelsen...