Changpeng Zhao Defends ‘Buy and Hold’ Strategy Amid Crypto Debate

TLDR

• Changpeng Zhao’s recent tweet on a ‘buy and hold’ crypto strategy sparked criticism across social media platforms.
• Zhao clarified that his statement was not intended as financial advice and should not apply to every cryptocurrency.
• He explained that holding all assets in any industry would result in poor performance due to the high failure rate of most projects.
• Binance faced accusations of market manipulation, especially in light of the October 2025 market crash and its aftermath.
• Zhao defended Binance’s role, stating the exchange had addressed the technical issues and compensated affected users.

Changpeng Zhao, founder of Binance, faced a wave of criticism after a recent tweet on cryptocurrency trading strategies. The post, shared on January 25, sparked a debate over the effectiveness of “buy and hold” strategies in the volatile crypto market. Critics quickly voiced concerns that his comment implied support for holding any token regardless of its market performance or quality.

Changpeng Zhao Clarifies His ‘Buy and Hold’ Statement

In his original tweet, Changpeng Zhao shared that, based on his experience, few trading strategies outperform a simple “buy and hold” approach. He clarified that his comment was not intended as financial advice. The tweet circulated widely on social media, where many interpreted it as a blanket endorsement for holding any listed token. This led to growing backlash from crypto enthusiasts, especially in the context of the current market downturn.

Zhao later addressed the criticism, calling it “twisted FUD” (Fear, Uncertainty, and Doubt). On X (formerly Twitter), he explained that the statement was not meant to apply to every cryptocurrency. He emphasized that investing in all assets within any industry would likely result in poor performance. Zhao noted that most projects fail, and only a few generate outsized returns.

Market Criticism and Controversy Over Binance’s Role

The controversy was further fueled by accusations that Zhao and Binance were involved in market manipulation. Critics referred to the October 2025 market crash, which led to significant liquidations across the crypto space. During this event, Binance faced technical issues that prevented users from managing their orders, resulting in $283 million in losses.

Zhao defended Binance’s role, stating that the exchange had worked to address these issues by compensating affected users. He also pointed out that the company had updated its infrastructure and risk parameters to prevent future incidents. Despite these measures, Binance continues to face criticism from some in the industry regarding its influence on the market and its approach to token listings.

Changpeng Zhao Defends Binance’s Approach to Token Listings

Zhao further clarified his stance on token listings in response to users questioning Binance’s role in promoting assets. He stated that exchanges cannot predict which projects will succeed long-term. In this sense, Binance provides opportunities for credible teams to list their tokens, leaving investment decisions to individual users. Zhao likened the crypto market to the early days of the internet, where users had to perform their own research and make informed decisions.

The controversy surrounding his comments reveals ongoing tension within the industry. While some argue that holding large-cap assets like Bitcoin and Ether offers long-term benefits, others point to the risks associated with altcoins. Zhao’s “buy and hold” statement continues to fuel debate over the best approach for navigating the volatile crypto market.

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