Binance Founder Lost BRL 393 Billion With Cryptocurrencies, Says Bloomberg

Changpeng Zhao, founder of Binance, appeared on Forbes’ billionaires list for the first time this year. However, Bloomberg points out that Zhao has already lost $80.9 billion (393 billion reais) since the start of this year due to the fall in cryptocurrencies.

After Zhao in defeats, we find the three richest men in the world, Elon Musk, Jeff Bezos and Bernard Arnault. These have already lost respectively 69, 61 and 55 billion dollars over the same period. Therefore, these losses are not exclusive to the cryptocurrency market as they can also be seen in the stock market.

In addition to these, Vitalik Buterin, founder of Ethereum, is another who is having a rough year. According to him, he stopped being a billionaire recently, probably due to Ether (ETH) falling from $4,850 to $1,950 in recent months.

Changpeng Zhao lost BRL 393 billion in 2022

First of all, it should be noted that there are two lists of famous billionaires. One is organized by Forbeswhere Binance has invested around BRL 1 billion this year, and another is Bloomberg. Therefore, the values ​​presented show slight differences.

While Forbes first cited Changpeng Zhao, aka CZ of Binance, for the first time in April this year, Bloomberg had tracked the billionaire’s wealth before that.

Along with broader data, Bloomberg points out that Zhao was the 11th richest man of the world in January. However, he points out that the founder of Binance has lost 80.9 billion US dollars (393 billion reais) since the beginning of the year, due to the fall of cryptocurrencies, pushing him to the 113th position this year. ranking.

Biggest financial losses of billionaires. Source: Bloomberg

While the Forbes list shows a less painful drop from $65 billion to $17.4 billion, it’s still a pretty big drop. Bring down the entrepreneur 20th place to 93rd in just one month.

Changpeng Zhao, founder of Binance, on the Forbes list of billionaires.

Binance founder explained his investment strategy

Although Changpeng Zhao only invests in two cryptocurrencies, Bitcoin (BTC) and Binance Coin (BNB), Binance itself seems to invest in a wider range of coins. One of them is Earth (LUNA), which recently lost almost all of its value after the collapse of EarthUSD (UST).

As a result, this investment of BRL 15 million turned into BRL 7.8 billion, then evaporated. Zhao responded to a comment on the matter, saying it was part of this investment strategy.

“It’s the face you make when you go bankrupt and try to explain to your partner how you ended up making 10,000 and still ended up losing your initial investment”jokes a netizen about a photo of Zhao.

“If we still make a profit at 20x, we won’t have the 5,000x. So, we went with the latter. And when you do that, there will be those who hit 500x and then 0. Part of the holding strategy .Changpeng Zhao commented on LUNA’s losses.

Changpeng Zhao makes pizza

After losing BRL 393 billion this year alone, Changpeng Zhao is not only making pizzas, but also working as a motoboy to cover his losses, as shown in the photos and video below.

“Thanks to Mister Pizza for letting us use the place and teaching me how to make pizza.”

Joking aside, Zhao remains in charge of Binance and this action is related to the Bitcoin Pizza Day (Bitcoin Pizza Day). Every cryptocurrency community celebrates this date to remember the day a user purchased two pizzas for 10,000 BTC. Such a transaction is considered the first BTC purchase in history.

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