What started as an act of goodwill by Binance founder Changpeng Zhao (CZ) to help victims of the LIBRA meme coin scam took an unexpected turn when Zhao received more crypto than he originally donated.
On Tuesday, Zhao pledged 150 BNB—worth approximately $100,000—to support those affected by the collapse of the controversial LIBRA coin after a college student, EnHeng, began raising funds to assist the victims.
But Zhao’s decision to publicly share his donation address led to an influx of additional crypto in the same, surpassing his initial contribution.
EnHeng, moved by the devastating losses caused by Argentina President Javier Milei–promoted LIBRA crypto, which wiped out more than 40,000 investors and resulted in over $4 billion in damages, announced their own donation of $50,000.
“When you try to make quick money, you often lose,” Zhao quipped on X. “When you give money away, you get more back.”
Despite the increased donations, Zhao made it clear that he would not keep any of the additional funds.
“I won’t be keeping a satoshi of it,” Zhao clarified in his tweet, saying he would donate the extra crypto to further support the victims, specifically those affected by other meme coins like TST and Broccoli, the latter being inspired by CZ’s pet dog. Zhao also warned his followers not to misinterpret his actions as an endorsement of the tokens involved.
The LIBRA Scam: A Presidential Endorsement Leads to Financial Chaos
Last Friday, the LIBRA token’s launch stirred controversy after Argentine President Javier Milei publicly endorsed it on his X account. The promotion caused the coin’s value to surge, reaching a market cap of over $4 billion within hours of its debut.
Milei initially promoted LIBRA as a project to help fund small Argentine businesses and boost the national economy, linking it to the “Viva La Libertad” initiative. But the excitement was short-lived. Just hours later, the token crashed by over 91%, causing massive losses for investors—with some losing their life savings.
After the coin’s collapse, Milei deleted his post and disavowed any involvement with the project, claiming he had been misinformed and had no knowledge of its full details.
Fraud charges were filed against Milei and the team behind the token, accusing them of being complicit in a large-scale fraud scheme. On-chain analysis showed that a single entity controlled 82% of LIBRA’s supply, fueling suspicions about market manipulation.
Platforms such as Jupiter and Meteora, which provided technical support for LIBRA, are under fire, with Meteora’s co-founder Ben Chow resigning amid allegations of insider trading and misconduct following the token’s collapse.
Edited by Sebastian Sinclair