- YZi Labs considers external investors while focusing on AI, biotech, and robotics growth.
- Regulatory scrutiny may rise as YZi Labs expands into public and external markets.
- Strategic deals highlight Zhao’s vision of merging blockchain with emerging industries.
Changpeng Zhao, the Binance co-founder, is weighing whether to open his $10B firm YZi Labs to outside money.
The San Francisco shop spun out of Binance earlier this year and now manages Zhao’s fortune along with capital from early Binance executives. Roughly 70% of the book sits in crypto, but the team has been leaning into AI, biotech, and robotics.
YZi Labs kept a long-term approach, chasing quality projects over fast returns. The 12-member team deployed funds carefully and drew early interest from outside investors, though the move remained at an exploratory stage.
Trial Run in 2022, SEC Engagement in 2025
Financial Times reported YZi Labs took in about $300M from external backers in 2022, then returned part of the money after struggling to match investor timelines. Leadership suggested a future conversion into an external-facing fund, once its AI and biotech bets deepen.
According to a Financial Times report, YZi Labs accepted about 300 million dollars in external money in 2022, then returned part of those funds. Leaders said asset scale made it tough to meet outside return timelines. The firm could convert into an external-facing fund later, after it deepens capabilities in AI and biotech.
Related: YZi Labs Expands Ethena Investment to Boost USDe and Digital Dollar Infrastructure
Potential expansion would draw closer U.S. oversight. The SEC requested a private demo from YZi Labs, signaling a more open dialogue. The FT also noted a friendlier U.S. stance toward crypto under the current administration, which has drawn some founders back stateside.
Strategic Deals Point to Expansion Beyond Crypto
YZi Labs backed a $500M raise for a Nasdaq-listed company and a $1B transaction tied to former Bitmain executives. Deals reflected Zhao’s plan to link blockchain to sectors like robotics, where wallets could handle payments.
Related: Binance Labs Becomes YZi Labs, Targeting AI and Biotech Startups
Ella Zhang, head of YZi Labs, said deploying billions in crypto requires patience. She stressed discipline over speed. While external interest was high, she said expansion would be cautious and standards-driven.
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Source: https://coinedition.com/czs-yzi-labs-may-open-10b-portfolio-expands-into-ai-and-biotech/