In a revealing report by the Wall Street Journal (WSJ), new details have emerged about the controversial co-founder of Binance, Yi He. The article sheds light on her position within the company and her ambitious project proposals. While the report paints an intriguing picture, it also raises questions about the direction and decision-making at Binance.
According to the WSJ report, Yi He holds at least a 10% share in Binance’s Cayman Islands holding company. This significant ownership stake grants her substantial influence over the marketing and investment sectors. Interestingly, in the absence of CEO Changpeng “CZ” Zhao, Yi He assumes the role of the largest shareholder. This raises concerns about the concentration of power within the company and the potential implications for decision-making.
One of the most intriguing aspects revealed in the report is Yi He’s proposal to establish a movie studio similar to Netflix. It is claimed that she envisioned a Marvel Cinematic Universe-style series featuring early Binance employees as heroes. While this idea might have initially sparked excitement, it was ultimately abandoned. The decision to pivot away from this project raises questions about the practicality and feasibility of Yi He’s vision for Binance’s expansion beyond the crypto space.
Under Yi He’s leadership, Binance launched “Build the Block,” a reality show reminiscent of “Shark Tank,” where crypto entrepreneurs pitched for Binance investment. What set this show apart was the use of computerized avatars for contestants and judges, making it the first metaverse-based reality show. Despite the innovative approach, the show faced challenges. The WSJ report reveals that a producer assigned to the show was laid off, indicating potential issues with its execution and reception. This highlights the risks associated with ambitious projects and the importance of effective planning and management.
Throughout 2022, Yi He advocated for a Binance project selling digital identities from Palau to outsiders for $248. This project aimed to provide access to Binance’s trading platform for residents in countries where it was restricted. However, warnings about reputational and legal risks were raised. Despite these concerns, Yi He persisted in pursuing the plan, with the intention of creating a backdoor for Chinese users. Binance later claimed to have not proceeded with any partnership after conducting due diligence. This episode raises ethical questions about Binance’s intentions and highlights potential legal challenges faced by the company.
While Yi He’s influence within Binance grows, CEO Changpeng “CZ” Zhao continues to face legal difficulties. The report reveals that CZ is still not allowed to leave the United States as ordered by a federal judge. During a recent court hearing, a request from CZ to travel abroad was rejected, with the specific grounds for the motion remaining undisclosed. This ongoing legal battle raises concerns about the leadership stability and governance of Binance.
The new report by the Wall Street Journal provides valuable insights into the controversial figure of Yi He and her significant influence within Binance. While her ambitious project proposals and involvement in various initiatives stir curiosity, they also raise important questions about the decision-making processes and the company’s direction. With CZ’s legal troubles continuing, Binance faces a challenging period that demands careful scrutiny and thoughtful actions to maintain its reputation and standing in the crypto industry.