Binance founder Changpeng "CZ" Zhao stated that the 50% decline of the crypto market in 2026 can be attributed to several factors, including the rise of AI investments, geopolitical tensions, and the four-year crypto market cycle:
- He believes that AI companies have siphoned off some investments that might have otherwise gone into crypto.
- The failure of the U.S. Clarity Act is not expected to hurt U.S. crypto regulation, as other bills are progressing.
"The crypto industry will continue to grow in the long run," he said, noting that a significant portion of his wealth is tied to the BNB token.
Despite the current downturn, CZ believes the market will recover and that demand for new financial technologies will increase.
