Zhao Changpeng: User Assets Are Secured Through the SAFU Mechanism, Making the Industry More Stable

User assets can be secured through mechanisms such as the Secure Asset Fund for Users (SAFU). Zhao Changpeng stated that while hacker attacks are unavoidable, the key lies in the response measures. Following the recent theft at Binance, user assets can still be protected through SAFU, which will make the industry more stable. Binance announced in late October that approximately $63 billion in assets were illegally transferred, an incident believed to be orchestrated by a North Korean hacking group, with the stolen assets converted into other cryptocurrencies for laundering. Zhao pointed out that exchanges are subject to stricter regulations than banks, have the capability to address money laundering issues, and that blockchain transactions are easy to trace and highly transparent. He also mentioned that Japan will implement a revised Financial Instruments and Exchange Act in 2027, positioning virtual currencies as financial products, marking a significant advancement for the industry. In 2023, Zhao admitted to violating the Bank Secrecy Act and resigned as CEO of Binance, currently focusing on the educational platform Giggle Academy, and stated he has no intention of returning to operate Binance.