Binance, Changpeng Zhao's exchange has been dominating the industry for over half a decade. While everyone is well-versed in using Binance, few are aware of its creator's journey to how he managed to create the killer crypto exchange that has become the crypto exchange for all.
CZ life before Binance
Changpeng Zhao or CZ was born on the 1st of January, 1977 in Jiangsu, a Chinese province where his parents works as teachers at the local school. CZ parents were held in high regard by the community. During this period that CZ was still a child, China experienced stringent domestic policies and censorship measures. Zhao's father was accused of "pro-bourgeois intelligence," because he was an advocate of liberal ideology. In 1984, he got a job offer into the prestigious University of British Columbia, and five years later, the family successfully acquired a long-awaited family visa. Finally, Zhao, alongside her mother and elder sibling, embarked on their new life in Vancouver, where they would reside henceforth.
Changpeng Zhao, with great determination, studied well at school and also excelled in volleyball, winning city competitions. However, his true passion was in computer technology, where he displayed a keen interest. Nevertheless, the trials of emigration made life challenging. Despite his parents' dedication to education, the family struggled to make ends meet. CZ, already in his teen, therefore sought for a job and got his first at McDonald’s, and at a gas station.
Years after that CZ got an opportunity to meet Rger Ver, the then Bitcoin Cash top promoter. He was invited to join a team of developers for a new Blockchain project called Blockchain.info where he made a great contribution to the success of the project. CZ relationship with Roger Ver couldn't continue much due to a disagreement between the two over the future of the project. Hence, CZ parted from the project to face a new challenge in life.
The next turning moment of CZ life came in 2014, when he got an offer to join OKcoin, the largest Chinese exchange at the time. CZ would only spend one year with OKcoin as the exchange management couldn't agree with his ideas of business expansion. Being ambitious and full of ideas, CZ started crafting his long time ambition into reality. He begins working on creating what we now know as Binance.
Interesting, in that same year that CZ started working out the Binance plans, he sold his house for$600, and invested the money in Bitcoin. Unfortunately, Bitcoin crashed at the time bringing his investment value down to $200.
That may look like something discouraging, but not with someone as determined as CZ. The experience become an inspiration for him, when he told the world about it. In his words, CZ said: “I would like to tell you my story from 2015, when BTC “collapsed” to $200, and a few months before that I sold my house and bought bitcoin at $600. And as you can see, I’m still here.”
The Genesis of Binance
As at 2017, exchanges interfaces were "clunky" and the crypto exchange market were not user-friendly. Additionally, systems were slow and there was a lack of customer support. Websites were breaking down as the price of bitcoin rose and users flocked to the market.
After a careful assessment the situation, Changpeng Zhao reached the conclusion that there is room for improvement in increasing the transaction speed or exchange rate, enhancing the user interface, and lowering fees. His goal is to create a customer-centric product. Furthermore, the plan includes facilitating smooth cryptocurrency-to-cryptocurrency swap and implementing mobile support to attract a worldwide user base. Thus Binance was born.
Based on the conditions of exchanges at the time, Changpeng Zhao initiatives were revolutionary, creating an unprecedented event. To top it up all, Binance, introduced the BNB token, the first of its kinds as an exchange owned token. A unique initiative unmatched by any other exchange.
How Much Did Changpeng Zhao Invested In Binance as a start up capital?
Changpeng Zhao invested $10,000 of his personal funds into the Binance project before anything else. However, before the official launch of the exchange, Binance sold BNB through an Initial Coin Offering (ICO) where they raised approximately $15 million. BNB was created to be used as transaction fees within the exchange. The initiative established Binance as the first exchange to be funded through an ICO.
In just half a year of debuting, Binance become the dominant force in the crypto space. Bitfinex, Poloniex, and Bitrex, once considered untouchable, faded into obscurity. The number of users grew rapidly, with a staggering daily turnover of over $11 billion. Binance effortlessly claimed the title of the world's leading crypto exchange, with its BNB Coin token joining the ranks of the top 20 cryptocurrencies. At that time, the crypto platform only had 4% of the stock exchange's workforce. Interestingly, the team at that time was made up of CZ's former coworkers and colleagues, whom he persuaded to join him. Presently, the staff has grown to around 8000 workforce, with a plan to increase the workforce by 15-30% in the year 2023.
Interesting, Binance do not have any physical office anywhere until recent years due to regulations pressure and frequency of attacks against the exchange and Changpeng Zhao its founder. And, it's more interesting to know that, no other crypto exchanges have been subjected to governments scrutiny and accusations than Binance and its CEO. But, in all these, Changpeng Zhao seems to master the game of how to come back stronger after every attack.
Changpeng Zhao's extraordinary journey as an entrepreneur serves as a testament to the remarkable talent of the Chinese in converting ordinary tasks into multi-billion dollar enterprises. The trail of victories he has left behind is an inspiration for anyone striving to surmount obstacles and achieve their entrepreneurial aspirations.
Final Thought
The story of Changpeng Zhao, from a nobody at McDonald's, rising to become the CEO of Binance and leading the crypto industry is truly inspiring for everyone. His journey serves as an excellent role model for the next generation of business leaders. The sky is the limit when it comes to achieving one's dreams, as long as there is unwavering determination.
Changpeng Zhao is no only the number one but also the most vocal in the crypto space. Against all odds, he has defied expectations to become one of the space's most influential figures.
Binance Cryptocurrency Exchange could be said to be the largest crypto exchange in the world reaching over 89.5 million users in August 2023 and its coin BNB now has a market cap of over $37B.
As we conclude, I would like to add this: At the end of the day, it's important to remember that originality is key. Rather than sampling the same old routines, it's more advantageous to think outside the box. When expressing yourself, don't be afraid to break free from the norm. In a world full of duplicates, be the distinctive voice that stands out from the crowd. Embrace your individuality and let your uniqueness shine brightly. So, as we try to stop the ink from flowing, remember to be authentic in everything you do.