- CZ predicts tokenization will unlock trillions in global equity markets.
- Bitcoin’s transparency could lead to its rise as reserve currency.
- Hong Kong must act fast to become crypto hub leader.
Changpeng “CZ” Zhao, founder of Binance, has shared his vision for the future of cryptocurrency, predicting that tokenization and Bitcoin treasuries will unlock trillions of dollars from global equity markets. In a speech at the Bitcoin Asia Conference, Zhao noted how exchange-traded funds (ETFs) and tokenized real-world assets would help close the gap between traditional finance and crypto, which would be essential for the industry’s growth.
Zhao described conventional capital entering the crypto market through the tokenization of traditional assets such as U.S. Treasury bills, real estate, and commodities.
He considers this convergence of the digital and physical world to be of immense possibilities and that the integration of equity markets with crypto will keep changing the entire world of finance. Zhao suggests that such a combination would change the pattern of capital flows and the manner in which financial markets are conducted globally.
Also Read: Pi Coin Rebounds Strongly: Is $0.400 Within Reach? Traders Brace for Surge!
The Rise of Bitcoin as a Global Reserve Currency
Zhao also discussed Bitcoin’s growing role in international finance. He highlighted the cryptocurrency’s transparency, security, and growing acceptance as signs that it can become the global reserve currency. Zhao sees a future in which cryptocurrency will have a core presence in the world’s financial systems as the Bitcoin infrastructure becomes more robust and crypto becomes more popular.
Nonetheless, Zhao did not disregard the dangers that the booming crypto market can represent. He warned that firms with large Bitcoin holdings may experience complications when the market declines. He also pointed out the unpredictability of newly created tokens as a possible danger to investors and called on people to be cautious of the market in its current boom.
Hong Kong’s Vision to Lead the Crypto Revolution
In a separate interview with the South China Morning Post, Zhao discussed Hong Kong’s potential to become a global hub for virtual assets. He reckons that the city is in a good place to compete with other regions established as crypto-friendly, such as the United States and the United Arab Emirates.
Nonetheless, he pointed out that regulators in Hong Kong need to move quickly to take advantage of such an opportunity. Zhao’s second suggestion is to increase the number of cryptocurrencies permitted on licensed exchanges and adopt a more permissive system similar to Japan, where exchanges are free to determine which tokens to list.
Zhao is sanguine about the future of blockchain, which he suggests will explode as the technology gets entangled in artificial intelligence. Despite regulatory challenges, he believes that the crypto sector is in its early stages and will continue to grow rapidly.
Also Read: 21Shares Takes Bold Step with Sei ETF, Pushing for Staking Approval from SEC
