According to him:
“Every company takes risks. Risks are not binary like 0 or 1. Risks are a range from 0 – 100.”
He added that failing to take risks may be just as dangerous as taking too much, suggesting that avoidance can lead to missed opportunities or unpreparedness for future shocks.
Meanwhile, Zhao emphasized that risk isn’t inherently negative if approached wisely, saying:
“With the right balance, you can achieve the best risk/ROI ratio that works for you.”
When asked how companies can prepare for worst-case scenarios, Zhao pointed to potential financial collapses, such as a currency losing all value or Bitcoin going to zero, as events businesses must be prepared to endure.
“Extreme cases are not that extreme [in real life]. They happen.”
Zhao’s comments follow a wave of companies adopting Bitcoin as a treasury asset.
The firm also pointed out that Bitcoin is a valuable tool for multinational companies operating in various currencies. According to River, a Bitcoin treasury can act as a bridge asset, reducing the friction and costs of cross-border transactions.
At the same time, River stated that BTC can act as a defensive asset during low-interest or inflationary periods. The firm noted that Bitcoin’s capped supply and predictable issuance give it a unique advantage in preserving long-term value, unlike fiat currencies, which are vulnerable to debasement.
