Binance Execs Request Reduced Oversight, Explore Trump-Linked Crypto Partnership
The crypto exchanges top leadership, including CEO Richard Teng and Chief Legal Officer Eleanor Hughes, recently met with U.S. Treasury officials to request scaled-back compliance monitoringand floated the possibility of a partnership with World Liberty Financial (WLF), a crypto company reportedly backed by the Trump family.
Push to End Government Watchdog Oversight
At the meeting, Binance executives reportedly asked for the removal or reduction of an independent monitor appointed to oversee the companys compliance with anti-money laundering (AML) laws. The watchdog was installed as part of Binances $4.3 billion settlement in 2023, which followed a years-long federal investigation.
Sources say Binance is also considering listing a new dollar-pegged stablecoin issued by WLF, potentially aligning itself more closely with Trump-aligned crypto interests ahead of the 2024 election cycle.
CZs Quiet Push for a Presidential Pardon
The latest development comes on the heels of reports that Changpeng Zhao (CZ), Binances former CEO, has been seeking a presidential pardon from the Trump administration. Zhao stepped down in November 2023 after pleading guilty to AML violations, as part of the record-breaking settlement with U.S. authorities.
According to the WSJ, CZ had been exploring potential deals with the Trump family that included a stake in Binances U.S. arm, which could help re-establish the companys domestic legitimacy under a crypto-friendly administration.
SEC and Binance Agree to Extend Legal Pause
Meanwhile, Binances legal battle with the Securities and Exchange Commission (SEC) remains on hold. The agency and Binance have mutually agreed to extend a legal pause until mid-June, citing productive discussions between their teams. The SEC first filed its lawsuit in 2023, accusing Binance of operating without proper registrations and violating securities laws.
With the SECs new crypto task force now overseeing enforcement, the outcome of these negotiationsand Binances regulatory futureremains uncertain.
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