Take Changpeng Zhao’s 3-Question Crypto Risk Test: Do You Pass?

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Have you ever noticed? The most dedicated crypto believers don’t shy away from volatility; they thrive in it.

Binance Founder and former CEO Changpeng Zhao embodies that mindset to the fullest, and he just dropped a deceptively simple piece of advice: yes, investing in crypto is risky – but not investing might be even riskier.

He lays out three questions that every crypto investor – new or seasoned – should ask before making their next move.

Easy but not simple. And they just might change how you think about risk altogether.

Read on!

CZ’s 3 Rules for Risk: Are You Asking the Right Questions?

1. What’s the worst-case scenario?

Can you stomach a total loss? If your investment hits zero, can you still pay rent, eat well, and sleep at night? After all, those aren’t numbers on a screen! You should know where your limits are. In crypto, losses happen fast, and the people who survive are the ones who know how much they’re really willing to risk.

2. How many chances do you actually have?

If you blow up on the first try, there’s no second round. CZ’s point here is crystal clear: treat each decision like it might not work out. Your longevity as an investor depends on pacing your plays and not swinging blindly.

3. Do you even understand what you’re doing?

This is the one that stings a bit. FOMO is easy, but blindly chasing trends is a fast track to regret. CZ urges investors to pause, research, and actually learn before throwing money at the next shiny token. If you don’t get it, don’t touch it. Because crypto doesn’t reward ignorance and hype won’t save your portfolio when things get ugly.

Redemption Arc? CZ Files for U.S. Presidential Pardon

CZ is slowly stepping into the limelight again. Just months after finishing a prison sentence for violating U.S. anti-money laundering laws, he’s officially filed for a presidential pardon from Donald Trump – aiming to reclaim his position in an industry he helped shape.

His legal troubles led to Binance’s $4.3 billion settlement and his exit as CEO. But behind the scenes, he’s pivoted to mentoring, investing, and championing decentralized innovation.

We’re ready to see CZ 2.0 and these words of wisdom will go a long way for investors.