Binance Founder Seeks Community Opinion As BNB Donation Wallet Reaches $1 Million
Binance founder Changpeng Zhao (CZ) is seeking the advice of the BNB community on the ideal way to give out over $1 million in BNB tokens to victims of the meme coin price crashes. CZ is mulling an outright donation to a non-profit, but the options of burning tokens or adding them to a liquidity pool are appealing alternatives.
CZ Set To Give Out $1 Million
In a post on X (formerly Twitter), CZ confirmed that donations for victims of Test (TST) and BROCCOLI meme coins had surpassed the $1 million mark. From the pool, CZ donated $100K (150 BNB), riding on the tailwind from a university student’s donations for victims of the ill-fated Libra project.
The Binance founder disclosed that he will not keep any of the BNB received but will seek community opinion on an appropriate means to give out the tokens. Right out the bat, CZ shut down suggestions that he will send tokens to individuals, citing an inability to verify claims while hinting at a community-focused action.
A cross-section of community members are pining for a non-profit donation in line with CZ’s streak of crypto-backed charity activities in recent months. While a donation to a non-profit sits at the top of the pyramid, CZ says the organization must have mechanisms for transparency for funds.
“My requirement for charity is that the receiving organization has to be crypto-enabled, and tracking must be allowed to the end beneficiary,” wrote CZ.
Binance Founder Eyes A Hybrid Approach
CZ opines that a hybrid approach may be the best route for giving out the donated BNB tokens. A portion of the funds may be given to a non-profit that ticks the boxes of transparency while others are pushing for burning the received tokens, potentially increasing asset values.
The founder notes that he is leaning toward deploying the funds to a liquidity pool after initial experiments birthed positive results.
“I don’t care if funds on this address make or lose money,” said CZ on the prospects of a liquidity pool. “I think this is an indirect way to give back to our community too.”
While airdrops have received a level of community support, CZ sees their implementation as a steep mountain to climb for wallet operators. He predicts that selecting eligible individuals for the airdrop will trigger a raging debate among community members.
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