Regulatory Passport and Global Crypto Regulation: CZ at Davos 2026

CZ outlines a practical path for cross-border crypto oversight, advocating a regulatory passport to recognize licenses across countries and reduce regulatory fragmentation.

Rich by Coin

2026-01-26

At the 2026 Davos Forum’s New Era for Finance roundtable, leaders discussed how technology is reshaping global finance with a focus on cryptocurrencies, blockchain, and AI in payments. CZ believes that while the payments sector still faces challenges, the integration of traditional payment methods with cryptocurrency will drive significant growth in the future. He expressed concerns about the risks associated with Bitcoin payments, Memecoins, and traditional banks, citing their high levels of speculation and uncertainty. He proposed the idea of a “regulatory passport,” where a license obtained in one country would be recognized by others, offering a more feasible solution than creating a global regulatory body.

CZ focuses on cryptocurrency, blockchain, and Web3 technologies, which he says are disruptive and here to stay. He notes that two proven sectors in the crypto space are exchanges and stablecoins, and he’s excited about tokenization, which could help governments realize financial gains and develop related industries. Payments remain an area we’ve tried but haven’t fully solved; cryptocurrency payments have not been widely adopted, but traditional payment methods are beginning to merge with cryptocurrency. He predicts that the native currency for AI will be cryptocurrency, with AI using crypto for payments, not just relying on bank cards or credit cards.

Across the world, countries manage financial risks differently, particularly in banking and cryptocurrency regulation, and cross-border spillovers raise questions about a global regulatory body. A global regulatory framework is feasible in theory, but a regulatory passport—recognizing licenses across countries—offers a more practical first step. ByteDance has 22 to 23 licenses globally, but most countries currently don’t have a licensing system for cryptocurrencies; the U.S. has made progress but remains a work in progress, while the UAE, Bahrain, Pakistan, and Kenya are actively engaging in discussions. We’re happy to be part of those consultations, even though I’m not an expert in crypto or regulation—I simply offer my insights as a market participant.