CZ invites crypto companies to join the industry recovery fund

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Binance CEO Changpeng Zhao invites crypto companies to contribute to the industry recovery fund

Justin Sun’s Tron blockchain, Huobi Global, Poloniex, Simon Dixon, and the Ethereum PoW developers already joined the initiative

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CZ, the CEO of the largest cryptocurrency exchange Binance, invites industry players to join the “industry recovery fund.”

Last week, the second-largest cryptocurrency exchange FTX went bankrupt. The fund is being created with the scope to reduce further cascading negative effects of this event, as FTX’s collapse disrupted the whole crypto industry. For instance, Bitcoin has touched a minimum of $15,757, which was previously seen in November 2020. Major NFT projects also lost drastically in volume as holders of blue-chip NFTs looked for liquidity. There is no need to mention the overall weakness of the industry. 

On November 8, Binance’s CEO Changpeng Zhao announced the company’s plans to acquire FTX. However, after due diligence was conducted, CZ pulled out, stating that Binance does not have the resources that would cover FTX’s loss. 

Despite the final decision, the executive still aims to save the crypto industry. So, today he announced the launch of the recovery fund and invited the biggest industry players to join Binance and help projects in a liquidity crisis. According to CZ’s tweet, the company will soon share details of the initiative.

“Also welcome other industry players with cash who wants to co-invest. Crypto is not going away. We are still here. Let’s rebuild,”

writes CZ in a tweet

The founder of the Tron blockchain, Justin Sun, became the first to respond to Binance’s proposal. So, Tron blockchain and exchanges Huobi Global and Poloniex will participate in the recovery project. 

Celsius investor Simon Dixon and the Ethereum PoW developers also joined the initiative. Wealthy companies that wish to contribute to the recovery fund can contact Binance Labs to join.

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Valeria Goncharenko

Valeria is an Italy-based writer passionate about Web3 and innovation. She is getting her second Major in International Business Management while dedicating her spare time to photography and fashion.

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