Binance Pushes Web 3.0 Ambitions Forward With $200 Million Investment In Forbes
Binance, the world’s largest cryptocurrency exchange, is making a $200 million strategic investment in 104-year-old digital publisher and magazine Forbes.
The investment by Binance, founded by Changpeng Zhao in 2017, is an indication that its founder believes content generation will be a growth area for Web 3.0 development. Web 3.0 refers to a more decentralised version of the internet that uses the blockchain, which also supports non-fungible tokens (NFTs) and cryptocurrencies such as bitcoin.
“As Web 3 and blockchain technologies move forward and the crypto market comes of age we know that media is an essential element to build widespread consumer understanding and education,” said Zhao.
“This is the first step into a marketplace that has really high potential when it comes to adoption of Web 3.0-based tools,” a person with knowledge of Binance’s strategy told CNBC. “Our industry has seen a ton of growth and we think you’d have to be a fool to not position yourself in those sectors that are ripe for infrastructure investment.”
Forbes CEO Mike Federle has said Binance’s investment will help the company get the experience, network, and resources of the world’s leading crypto exchange.
However, back in 2020, Binance sued Forbes and two of its writers following the publication of a story that claimed Binance “conceived an elaborate corporate structure designed to intentionally deceive regulators.” The crypto exchange denied the allegations and claimed the story had cost it millions of dollars. Binance dropped its lawsuit against Forbes in February last year.