Binance founder Changpeng "CZ" Zhao has issued a stark warning to cryptocurrency traders, specifically targeting the speculative frenzy around meme coins driven by social media hype. In a public statement, CZ declared that traders who "ape into every meme coin people create based on my random tweets" are "almost guaranteed to lose money."
This cautionary message comes amid a renewed meme coin investing boom, where retail traders increasingly chase viral trends on platforms like X (formerly Twitter) and Telegram rather than conducting fundamental research. CZ's remarks, shared via the Whale Insider account on January 13, 2026, carry significant weight in the industry due to his influential status and history of observing market cycles.
The warning directly addresses the emotional and speculative trading behavior prevalent in the meme coin space. CZ highlighted that this mindset ignores critical factors like volatility, liquidity risks, and proper exit timing. He emphasized that most meme coins lack fundamentals, long-term value, and utility, relying entirely on attention and constant inflows of new buyers to sustain price momentum. Once hype fades, prices often collapse rapidly.
The timing of the warning is notable, following a specific incident involving the meme coin BROCCOLI. This token was inspired by CZ's dog, which he revealed on X last year. On January 1, 2026, an attacker reportedly took over a market maker's Binance accounts, used stolen funds to buy spot BROCCOLI, and then executed a coordinated pump-and-dump scheme using futures contracts. The coin's low liquidity and artificially inflated demand made it an ideal target for such manipulation.
CZ clarified that while he enjoys memes, he does not endorse the creation of tokens based on his casual social media posts and is not providing financial advice. His message urges traders to practice awareness and responsibility, evaluating factors like liquidity, token distribution, and developer credibility before investing. The statement reflects a broader shift within the crypto industry's leadership toward prioritizing sustainable practices over unchecked speculation.
