Kyrgyzstan enlists Binance founder CZ to lead crypto and blockchain growth

Binance founder and former CEO Changpeng “CZ” Zhao has partnered with Kyrgyzstan’s National Investment Agency (NIU) to help shape the country’s crypto framework and blockchain ecosystem.

On April 3, Kyrgyz President Sadyr Zhaparov announced that the government had signed a memorandum of understanding with Zhao to provide guidance on blockchain tech, virtual asset regulation, and digital infrastructure.

Under the agreement, Zhao will advise the NIU on developing local talent through educational programs in areas like crypto management and cybersecurity.

Zhao described the partnership as “extremely meaningful,” noting that he already advises several governments, both “officially and unofficially,” on how to build crypto regulations and roll out blockchain solutions for improving government efficiency, emphasising that blockchain has use cases far beyond just trading.

According to President Zhaparov, the memorandum represents “an important step” toward enhancing national digital capabilities.

“The signing of the Memorandum opens new horizons for the development of digital technologies and the blockchain ecosystem in the country […] such initiatives are crucial for the sustainable growth of the economy and the security of virtual assets, ultimately generating new opportunities for businesses and society as a whole,” he added.

Kyrgyzstan is aiming to become a regional hub for digital innovation, and the government sees this collaboration as a key step toward strengthening its tech infrastructure and boosting foreign investment.

The country, rich in untapped hydroelectric power, is also seen as a strong contender for crypto mining operations.

The International Energy Agency reports that only 10% of Kyrgyzstan’s hydropower potential has been developed.

In December, Kyrgyzstan’s Parliament backed a draft law for the digital som, the country’s planned CBDC. Prototype testing is set for early 2025, with a rollout decision expected by late 2026.

No longer a CEO

Zhao’s renewed public-facing role comes just months after serving a four-month prison sentence in the United States for violating anti-money laundering laws during his time at Binance. 

Since his release, he’s taken a step back from executive positions, opting instead to explore new opportunities behind the scenes.

For instance, he rebranded Binance Labs into YZi Labs, a family office that broadens its investment focus beyond crypto to include artificial intelligence and biotechnology. 

YZi Labs has already led a $16 million funding round for Sign, a platform aiming to improve on-chain credential verification and token distribution. 

Zhao also founded Giggle Academy, a nonprofit educational initiative offering gamified learning experiences.

However, this wasn’t the first time the Binance founder has been tapped for crypto guidance.

Earlier this year, he met with Malaysian Prime Minister Anwar Ibrahim.

He’s also had meetings with officials from the UAE and Bhutan, although details on those talks remain vague.

As previously reported by Invezz, Zhao joined crypto-AI startup Vana as an advisor in February this year, following an investment from YZi Labs.

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