Binance founder Changpeng “CZ” Zhao said the cryptocurrency market may be entering a “super cycle.” He attributed the shift to the 180-degree turn in Washington’s regulatory stance toward digital assets.
Zhao’s bullish crypto super cycle forecast comes as the US government aggressively dismantles the enforcement-heavy framework of previous years.
Why Binance Founder Forecasted a Crypto ‘Super Cycle’
The pivot is anchored by the recent passage of the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act.
The GENIUS Act, signed into law last July, established the first federal framework for payment stablecoins. This effectively legitimizes these assets as a cornerstone of the US financial system rather than a systemic risk.
However, industry eyes are now fixed on January 15, when the Senate Banking Committee is scheduled to mark up the CLARITY Act.
If passed, the bill would end the long-standing jurisdictional turf war between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). It would require the two agencies to collaborate on a unified compliance regime.
Meanwhile, signs of this new agency collaboration are already emerging.
Last year, the SEC removed crypto from its 2026 examination priorities list, signaling a retreat from its “regulation by enforcement” strategy. Instead, the agency is redirecting resources toward artificial intelligence and third-party vendor risks.
This regulatory clarity is already unlocking institutional capital. Notably, spot Bitcoin exchange-traded funds (ETFs) have pulled in more than $56 billion in fresh capital since their launch in 2024.
At the same time, traditional financial institutions such as JPMorgan and Morgan Stanley are actively developing crypto-focused products.
However, industry analysts have urged caution about these bullish projections. They remind investors that pro-crypto legislation alone cannot guarantee linear growth.
“If you think a supercycle is coming because of this tweet, you are going to be very disappointed. Lower your expectations It’s possible that absolutely nothing happens over the next year. And that would be a good thing, because it would mean you get to stack more,” Rajat Soni, a traditional financial analyst, said.
Binance’s Zhao also tempered expectations for this crypto super cycle, noting that he “cannot predict the future.”
