At Token2049 in Dubai, Binance’s Changpeng Zhao emphasised that cryptocurrency will power the future of AI, while critiquing the majority of AI tokens as lacking value. He advocates for genuine utility in crypto projects, using his own Giggle Academy as an example of merging technology and education. Zhao also highlighted regional disparities in crypto adoption and the philosophical foundations behind investments in platforms like X, stressing the importance of free speech alongside technological advancement.
Changpeng Zhao, widely known as CZ, co-founder of Binance, delivered a thought-provoking keynote at Token2049 in Dubai, asserting that cryptocurrency will be the backbone for artificial intelligence (AI). His assertion, “The currency for AI is crypto,” highlights the potential of digital currencies to become the financial powerhouse for future AI developments, from storytelling to creating sophisticated applications.
Zhao is confident that AI will revolutionise various sectors. He argues that with AI agents increasingly participating in complex interactions, there arises the need for a flexible and efficient financial system—crypto fits the bill due to its quick transactions, international reach, and lack of intermediaries. This vision, however, comes with a caveat: CZ firmly dismisses the current wave of AI tokens, labelling around “99.99%” of them as pointless. He’s wary of token initiatives that lack genuine utility and calls for the industry to avoid getting swept up in hype or quick profits.
To illustrate his point, Zhao referenced his own venture, Giggle Academy, which employs AI and blockchain to create children’s storybooks. The initiative has quickly gained traction, reaching over 220,000 children across 15 languages within just six months. His ambitious goal is to educate one billion children through this approach, prioritising technology over traditional educational frameworks.
When discussing global trends, Zhao noted that Europe is falling behind in crypto adoption, while Bhutan and the U.S. lead the way. Interestingly, he pointed out that in some cases, nations are even treating cryptocurrencies as strategic reserves. He addressed the barriers India faces, particularly its steep taxes, which inhibit the sector’s growth. His advice to Web3 founders? Focus on building real utility instead of chasing fleeting trends.
CZ didn’t shy away from discussing broader themes, pondering the rationale behind investing in platforms like X, formerly Twitter. He argued it isn’t just about technology; it embodies a belief system prioritising free speech and economic freedom. “Money is important, but you also need freedom of speech,” he stressed, underscoring that without these foundational principles, other innovations might not materialise.
His firm’s investment in X was guided by this ethos, not purely profit motivations. Now, with X emerging as a prominent AI entity, Zhao sees the intersection of deep-seated values and cutting-edge technology as a promising horizon.
