Is the Rumor on CZ and YZi Labs True?

Rumors often swirl around Changpeng Zhao, widely known as CZ, the Binance founder, and his investment venture YZi Labs. 

Recently, reports surfaced suggesting that YZi Labs, a private investment entity spun off from Binance, was preparing to open its portfolio to external investors, potentially transforming from a family office into a multi-investor fund. 

This news sent waves through the cryptocurrency world. Yet, amid this buzz, CZ himself quickly pushed back, calling such stories completely false. Disentangling fact from fiction reveals a more nuanced picture of YZi Labs’ current status and CZ’s involvement.

The Origin and Current Role of YZi Labs

YZi Labs emerged in early 2025 after rebranding from Binance Labs, Binance’s venture capital arm. Now structured as CZ’s family office along with co-founder Yi He, the firm manages billions of dollars in investments across cryptocurrencies, Web3 startups, AI, and biotech sectors. 

Officially, YZi Labs remains privately controlled with a tight-knit leadership team, including long-time CZ associate Ella Zhang. The entity’s focus extends beyond quick returns toward long-term technological impact and ecosystem building. 

Although the company is exploring possible future strategies, it currently holds no plans to raise outside capital or shift away from family ownership.

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The Financial Times Report and CZ's Rebuttal

The Financial Times published a report claiming that YZi Labs might be looking to welcome external investors, stirring speculation about regulatory scrutiny and fund restructuring. 

CZ responded swiftly, labeling the article as "complete false news," filled with "made-up info and negative narratives." Highlighting that no such fundraising efforts are underway, CZ stressed the purposeful silence on media inquiries and rejected invitations to interviews he deemed traps. 

This confrontation highlights the tension between media interpretation and insider updates surrounding Binance’s closely held investment operations.

Read Also: Is CZ Coming Back to Binance?

What This Means for Binance and the Crypto Community

YZi Labs’ evolution symbolizes CZ’s shifting focus from operating Binance’s exchange towards strategic investments shaping the future of blockchain and adjacent technologies. 

The rumor busting reinforces that, while YZi Labs is open to growth, it remains firmly rooted as a family office preserving control and discretion. 

For Binance supporters and market watchers, this means ongoing confidence in CZ’s vision backed by patient capital rather than speculative fundraising. 

The clarity also tempers unrealistic expectations about sudden fund expansions or governance changes that could ripple across crypto markets.

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Conclusion

The rumor linking CZ and YZi Labs to imminent external fundraising lacks credible foundation according to repeated denials from CZ himself. 

YZi Labs continues its mission as a private family office investing in blockchain, AI, and biotech with a long-term perspective. While openness to outside investors may appear on the horizon conceptually, no concrete actions or official plans exist at present. 

Understanding the facts amidst sensational headlines provides a clearer view of CZ’s evolving role and YZi Labs’ strategic direction—a story anchored more in measured investment than media hype.

Read Also: Bitcoin Price Prediction: CZ Binance Says It Could Hit $1 Million

FAQ

What is YZi Labs?

YZi Labs is an investment firm rebranded from Binance Labs in 2025, acting as Changpeng Zhao’s family office managing crypto and tech investments.

Does YZi Labs plan to raise funds from external investors?

Currently, no. Although the idea of opening to outside investors has been mentioned, there are no active plans to do so at this time.

Why did the Financial Times report about YZi Labs cause controversy?

The FT suggested YZi Labs might open to external investment, but CZ denied this vigorously, citing inaccuracies and misleading narratives.

Who manages YZi Labs?

Led by CZ and his co-founder Yi He, YZi Labs is supported by a small, dedicated team including chief Ella Zhang, focusing on strategic investments.

How does this affect Binance’s operations?

YZi Labs operates independently from Binance’s exchange business but aligns with CZ’s broader vision of sustainable blockchain technology growth.