Changpeng Zhao Predicts YZi Labs Portfolio Will Outperform Crypto Market

Changpeng Zhao, the founder of Binance, has stated that the investments made by YZi Labs over recent months are expected to become its best performers. Zhao attributes this outlook to the firm's timing, noting that it deployed capital while cryptocurrency prices were near their lows. This prediction follows a summary of an August 28 book club session in Hong Kong, where Zhao discussed market dynamics with an audience.

YZi Labs serves as the family office managing the personal wealth of Zhao and Binance co-founder Yi He. The firm manages more than $10 billion and evolved from Binance Labs, the exchange's former venture arm, before transitioning to independent operations. While its 2026 investment strategy extends beyond digital assets into robotics, AI payments, and custody, Zhao's recent comments specifically highlighted the performance of its crypto holdings.

During the Hong Kong session, Zhao observed that capital flowing into artificial intelligence is filtering out short-term crypto teams. He further argued that money from the AI sector is already rotating back into digital assets. This perspective aligns with recent market movements; Bitcoin had fallen 47% from its peak by early June, a decline that intensified debate over the severity of the crypto winter. Although prices have recovered since that low point, they remain significantly below the October high.

The firm's recent activity includes a lead investment in physical AI systems. In March, YZi Labs led a $52 million round for RoboForce. It also secured a position in digital asset custodian BitGo prior to the company's January listing on the NYSE. Smaller investments followed throughout the spring and summer. In April, the firm added to its position in prediction market Predict.fun alongside Susquehanna Crypto. In May, YZi Labs led an $8 million pre-seed round for payments protocol AEON. In August, it backed fixed-rate lender TermMax.

Despite the optimistic forecast, Zhao has not published returns data for these positions, leaving the claim untested. The period also saw internal challenges for the firm, which spent much of the year involved in a control dispute over BNB treasury firm CEA Industries. A director resigned in March, and both parties reached a settlement in June.

The future trajectory of Bitcoin will determine whether Zhao's timing appears prescient. The Binance founder has previously stated that a $1 million bitcoin could arrive sooner than most expect, though current price levels remain far from that mark.