YZi Labs Stands by AI, Biotech Vision as CZ Denies Fundraising Claims

YZi Labs, the rebranded venture capital arm formerly known as Binance Labs, has categorically denied claims in a Financial Times (FT) report suggesting it is pursuing external investors or raising funds. Binance CEO Changpeng Zhao (CZ) directly addressed the allegations in a public post on X, stating the report contains "false information" and emphasizing that YZi Labs has not engaged in fundraising activities, prepared pitch decks, or communicated with potential investors since its rebranding in early 2025Real-Time Crypto News Feed | 24/7 Flash News | Phemex^[1]. CZ further clarified that no external investors, including Paul Atkins, have been approached, and the entity remains independent of BinanceZhao Converts Binance Labs into $10 Billion Family …^[5].

YZi Labs, now positioned as a family office managing the wealth of CZ and Binance co-founder Yi He, was rebranded from Binance Labs to reflect a strategic pivot toward artificial intelligence (AI), biotechnology, and Web3 projects. The entity, led by co-founder Ella Zhang, has expanded its focus beyond blockchain to include sectors such as AI and biotech, with a portfolio valued at over $10 billion. This includes investments in 250+ projects, such as Polygon, Aptos Labs, and Tensorplex LabsUnderstanding YZi Labs | Messari^[3]. CZ, who stepped down as Binance CEO in 2023 and served a four-month prison sentence for regulatory violations, now mentors startups and guides the fund’s strategyUnderstanding YZi Labs | Messari^[3].

The FT report cited Ella Zhang’s remarks about potential interest from external investors, but CZ dismissed these claims as misleading. He emphasized that YZi Labs has no plans to raise capital and that the firm’s operations remain private. "There is no demo. WTF is a demo for a fund? There is no pitch deck for YZiLabs ever," CZ wrote, refuting suggestions of a public fundraising effortZhao Converts Binance Labs into $10 Billion Family …^[5]. Zhang echoed these sentiments, stating that while there is "always a lot of external interest," the firm is not yet prepared to open to external investors due to its early-stage development in AI and biotechCZ-linked YZi Labs mulls opening to outside investors: FT^[6]. She added that the team is focused on building expertise in these fields before considering such a moveBinance's CZ-backed YZi Labs $10B firm considers allowing …^[8].

YZi Labs’ portfolio includes a mix of blockchain and non-blockchain ventures, with 70% of its assets tied to digital assets. Recent investments include Vana Network, a crypto-AI firm, and Plume Network, a real-world asset (RWA)-focused blockchain project. The firm also launched a 12-week residency program to foster collaboration between AI, blockchain, and biotech innovatorsUnderstanding YZi Labs | Messari^[3]. Despite its expanded focus, YZi Labs maintains its commitment to blockchain, with its supported tokens often listed on Binance. The firm’s $2.7 trillion net valuation, driven by tokens like Bitcoin and Ethereum, underscores its continued influence in the crypto ecosystemZhao Converts Binance Labs into $10 Billion Family …^[5].

CZ’s recent initiatives, such as Giggle Academy—a free K-12 education platform—reflect his post-prison focus on impact-driven projects. While YZi Labs remains a private entity, its strategic direction aligns with CZ’s broader vision of leveraging technology for societal benefit. The firm’s long-term approach, as described by Zhang, diverges from traditional venture capital models that prioritize annual returnsBinance's CZ-backed YZi Labs $10B firm considers allowing …^[8]. Analysts note that any future shift toward external fundraising would face heightened regulatory scrutiny, particularly in the U.S., where crypto-related investments are under intense regulatory reviewBinance Founder CZ May Open $10B YZi Labs To External Investors^[7].