Bloomberg: Zhao Changpeng's assets grew by $23.6 billion in a year? Exceeding five times the fine imposed by the U.S. Department of Justice

Bloomberg reported, citing its Billionaires Index, that the rebound in the crypto market this year has led to a significant increase in the net worth of many cryptocurrency entrepreneurs.

Changpeng Zhao Back on the Billionaires List, Is Binance Still the Winner after the Storm?

In November this year, CZ and Binance reached a comprehensive settlement with the United States for violating U.S. sanctions and anti-money laundering laws, admitting to the charges and agreeing to pay fines to allow Binance to continue its operations.

In the agreement, CZ personally agreed to pay a $50 million fine and step down as CEO, but he still retains ownership of Binance.

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Bloomberg cited its Billionaires Index, pointing out that CZ's assets grew by $23.6 billion this year, more than five times the $4.3 billion fine Binance received. His current net worth exceeds $37 billion, mainly from Binance ownership. Despite a decrease in Binance's market share, the rebound in the crypto market significantly increased trading volume.

However, CZ's assets still have a certain gap compared to the peak of nearly $97 billion in early 2022 and the intra-year high of $50.4 billion in July 2023.

CZ declined to comment on this matter, and his holdings of BTC and BNB are not included in the Billionaires Index valuation. He ranks 37th on the list, with a ranking of 15th in annual growth.

Not Just CZ, Crypto Market Rebound Creates More Billionaires

In addition to CZ, Bloomberg pointed out that several cryptocurrency entrepreneurs' assets have significantly increased:

• DCG Founder Barry Silbert: Assets grew by $1.5 billion annually, reaching $2 billion.

• Coinbase CEO Brian Armstrong: Annual growth of $5.8 billion, with assets of about $7.2 billion. He holds approximately 16% of Coinbase.

• Coinbase Co-Founder Fred Ehrsam: Holding about 5% of Coinbase, with an annual growth of about $1.8 billion, reaching $2.5 billion.

• Winklevoss Brothers: Tyler Winklevoss and Cameron Winklevoss' assets increased by approximately $1.4 billion from the appreciation of their ownership in the Gemini exchange.

In fact, DCG has been in the process of selling assets and closing businesses, with Barry Silbert stepping down as a Grayscale director on the 26th.

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How Does Bloomberg Calculate Billionaires List Net Worth?

According to Bloomberg's Billionaires Index algorithm, the index calculates the equity held by global billionaires, values it based on the latest closing prices at the end of the New York trading day, and converts it to U.S. dollars at the current exchange rate.

However, since Binance is a privately held company, Bloomberg estimated Binance's revenue based on data from Coingecko, Coinpaprika.com, and CCData on spot, derivative trading volume, and fees. It then compared this with the equity value of companies like Coinbase, asset management firm Galaxy Digital, and mining company Riot Platforms.

In addition, a 50% discount on equity value is applied due to corporate attributes, institutions, regulations, and related risks. Based on previous documents, CZ owns 90% of Binance, and the $1 billion devaluation of Binance.US due to litigation is also included. Bloomberg stated that CZ holds 86% ownership of Binance US.

All cryptocurrencies held by CZ are not included due to unknowns.

Binance spokesperson Hazel Watts stated in 2022 that Bloomberg's valuation of Binance was "inaccurate and far off," but did not provide more details or respond to Bloomberg's request for comment.

Finally, Bloomberg also mentioned FTX Founder Sam Bankman-Fried SBF, whose net worth stabilized at $0 after reaching a peak of $25.9 billion in March last year.