The Chief Executive Officer of Binance, Changpeng ‘CZ’ Zhao, has said that he is not interested in acquiring the cryptocurrency news source CoinDesk. In a tweet posted on March 14, Zhao refuted a story published by Blockworks which said that his exchange was attempting to purchase the media company via its subsidiary CoinMarketCap.
CZ: Coindesk does not abide by our geographic coverage
Zhao claims that the reason why Binance is “not purchasing” CoinDesk is that the publication does not fit into the company’s “geographic coverage.”
“You are not ‘on hold.’ Not purchasing. It’s possible the company will do well. Therefore, this does not fall within the scope of our regional coverage.”
The Digital Currency Group (DCG), the parent company of insolvent Genesis and the cryptocurrency investment firm Grayscale, includes the industry-leading cryptocurrency media site CoinDesk as one of its subsidiaries.
CoinDesk’s troubles?
There were rumours circulating that DCG was attempting to cash in on the media company in order to alleviate the financial challenges it was experiencing as a result of the insolvency of its subsidiary. As of the month of January, CoinDesk Chief Executive Officer Kevin Worth announced that the business was actively seeking a purchase.
Charles Hoskinson, the creator of Cardano (ADA), has said that he is interested in purchasing the company. On the other hand, he pointed out that the company was overvalued at its current worth of $200 million.
Binance has been linked to investments in many media companies in the past, so this is not the first time it has done so. A traditional media organization, Forbes, received an investment from the cryptocurrency exchange in the amount of $200 million in 2022. In addition to that, the exchange put almost half a billion dollars towards Elon Musk’s acquisition of Twitter.
