CZ’s new book, *Binance Life*, reveals the inside story behind FTX’s bankruptcy: he had never seriously considered acquiring it, and signing the letter of intent was merely a formality.

Zhao Changpeng (CZ) publishes a new book, Binance Life, revealing that back then he never seriously considered acquiring FTX; the letter of intent was just for formality. He also directly points to the real cause of its collapse being the exposure of the token’s floor price. The book also reviews Binance’s development and the journey through which he faced regulatory challenges.

CZ’s new book unveils the full story behind the FTX collapse and acquisition

CZ founder Zhao Changpeng (CZ)’s new book, Binance Life: Memoirs of Luck, Resilience, and Protecting Users (Freedom of Money), has been officially published. In the book, he for the first time reveals many behind-the-scenes details of the 2022 FTX bankruptcy.

According to a report by CoinDesk, Zhao Changpeng said in the book that at the time, FTX founder Sam Bankman-Fried (SBF) asked him for billions of dollars in a call—like asking for a Bologna sandwich—and the tone was extremely casual.

He revealed: “I have no interest in owning FTX, and I’m not very interested in helping SBF. But to protect users and the industry, we may have to get involved. I clearly stated that we won’t make any commitments. Our team will review the relevant data, and then we’ll make a decision.”

When investigating the true cause of the FTX collapse, Zhao Changpeng points the finger at Caroline Ellison, CEO of the market maker Alameda Research associated with the FTX exchange.

He believes that Ellison’s public proposal at the time to acquire the FTT tokens Binance held for 22 dollars was a fatal mistake—essentially exposing the floor price to the market.

Professional traders immediately took heavy short positions, causing the FTT price to rapidly crash to 15 dollars and even 5 dollars. In just 72 hours, 6 billion dollars in funds fled FTX.

Image source: commons.wikimedia, CointelegraphFTX exchange former CEO SBF

Recapping the FTX bankruptcy: from asset doubts to the breakdown of the acquisition

Recapping the FTX bankruptcy, the fuse was a report published by CoinDesk on November 3, 2022. It revealed that Alameda Research had issues with its balance sheet, and of its 14.6 billion dollars in assets, as much as 40% was FTX-issued platform token FTT. This sparked market concerns about its lack of liquidity and insolvency.

After that, on November 7, Zhao Changpeng announced the liquidation of the FTT Binance held based on risk management considerations, further triggering market panic and a bank-run-like surge of withdrawals.

Facing a liquidity crisis, SBF announced on November 9 that it had reached a strategic agreement with Binance. However, Binance later quickly stated that, after conducting due diligence, considering reports that FTX was suspected of mishandling customer funds and facing investigations by U.S. institutions, on November 10 it formally announced it was abandoning the acquisition.

Because the funding gap could not be filled, FTX ultimately filed for Chapter 11 bankruptcy reorganization in the U.S. on November 11, and SBF also stepped down from his role.

FTX bankruptcy record special: FTX one-year anniversary: Boom chapter》Formed for 3 years and then exploded into growth—why do even people in Taiwan love it?

FTX one-year anniversary: Downfall chapter》Foreign media fired the first shot—SBF’s crypto empire collapsed in an instant

FTX one-year anniversary: Smoldering embers chapter》The wounds and pain that can’t be erased—how can the crypto community stand up again?

Freedom of Money: breaking the barriers of money

In addition to revealing the inside story of the FTX bankruptcy, Binance Life also documents Zhao Changpeng’s life trajectory and Binance’s development history.

The book reviews how Zhao Changpeng moved from rural China to Canada, and in 2017 founded Binance, growing it into the world’s largest cryptocurrency exchange with an estimated valuation of 100 billion dollars in 2026 and more than 300 million users.

The book reveals that CZ faced regulatory challenges head-on, recording his experience of being sentenced to four months in prison for violating the U.S. Bank Secrecy Act. He emphasized that the relevant allegations did not involve fraud or money laundering, and Binance paid a fine of 4.3 billion dollars for this.

Regarding the meaning behind the English book title Freedom of Money, Zhao Changpeng explained that “freedom of money” means cryptocurrency can break through the obstacles of the traditional financial system.

He firmly believes that cryptocurrencies can play a key role in expanding global financial accessibility—especially helping people in developing countries who lack banking infrastructure, enabling them to transfer funds across borders, combat extreme local currency volatility, and enter global financial markets.

Further reading: Binance sues the Wall Street Journal for defamation! Reported allegations involve Iranian money flows; the U.S. Department of Justice launches an investigation at the same time