Binance co-founder and Canadian billionaire Changpeng Zhao (CZ) says that capital is starting to return to the cryptocurrency market.
CZ says that capital that had been directed towards artificial intelligence (A.I.) in recent months is beginning to return to the crypto sector, helping to boost prices.
In an interview, CZ said that the "hot money" that had been flowing into A.I. stocks is now being shifted to crypto such as Bitcoin (CRYPTO: $BTC) and related exchange-traded funds (ETFs).
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CZ, who was raised in Vancouver, British Columbia and is a Canadian citizen, also sought to reassure investors that the financial sector will not disappear in coming years.
In his latest comments, he stressed that humans and A.I. systems will continue to use money indefinitely, arguing that financial services will remain a fundamental part of the global economy.
CZ said that the strong rally seen in Bitcoin and other digital assets in August was largely driven by the return of institutional investors and flows into ETFs that track the spot prices of crypto.
Changpeng Zhao, who has an estimated net worth of $114.6 billion U.S., is a prominent voice in the crypto sector and closely followed by investors.
Cryptocurrency exchange Binance is privately held and its stock does not trade on a public exchange.
Bitcoin is trading at $78,500 U.S. on Sept. 3, having risen from below $65,000 U.S. in mid-August.