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- Aster clarifies Zhao’s role as an advisor, with YZi Labs holding a minority stake, not part of the team.
- The ASTER token surges 7,000%, reaching $2.41, attracting retail and institutional interest.
- Zhao stresses DeFi competition boosts ecosystem growth, benefiting both Aster and Binance’s BNB.
Changpeng Zhao, the founder of Binance, has explained his association with Aster, a decentralized perpetual exchange, after market speculation. Zhao clarified he does not belong to the team of Aster but is only acting as an advisor. YZi Labs, his venture capital company, has a minority share in the platform. This statement came after an X-user claimed that Zhao informed him he was a member of the Aster team.
The speculation began as an X user, claiming to have 300,000 ASTER tokens up, wrote that Zhao had confirmed his participation in an X Spaces meeting in a discussion. According to this, the user will have price goals when selling the token at $40 because they think that the recommendation by Zhao would cause an increase in the price.
Zhao Clarifies Role in Aster and DeFi’s Growth
Zhao quickly came forward to put things right. He further explained that he was not a member of the team, but he is an advisor. He mentioned that Aster is competing with Binance, even though Aster’s success is tied to Binance’s native token, BNB.
Zhao clarified how the presence of competition in the marketplace has the potential to contribute to the development of decentralized finance (DeFi) and subsequently the whole ecosystem.
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ASTER is a token obtained through Aster, and its price has seen a notable increase since its launch. It surged more than 7,000% to a record high of $2.41 on September 24. This tremendous growth has attracted the interest of institutional and retail investors alike. Aster is presently viewed by numerous individuals as a potential challenge to the decentralized perpetual trading arena.
Aster’s Growth and Zhao’s Support for DeFi Ecosystem
The relationship between Zhao and Aster has elicited interest since the beginning of the platform. His congratulatory message after Aster had been launched on the token made an impression in the market. Nevertheless, Zhao has always rejected the charges of market manipulation. He clarified that his reward was not in favor of Aster compared to its other competitors, such as Hyperliquid.
Zhao is convinced that the competition among projects in the DeFi ecosystem goes to contribute to more extensive adoption. He views the success of Aster as an advantage to the crypto market as a whole, and the Binance BNB token is included. Zhao underlined that his company invests passively and is not active in the daily activities of Aster.
The ongoing improvement of the perpetual exchange space is driven by its decentralization, leading to heightened competition among platforms like Binance and Aster. Zhao provided a clear explanation to eliminate confusion around his role and give clarity with the representing development of the crypto ecosystem.
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