CZ Refutes Claims of Trump Familys Talks on Binance.Us Investment

BNB, the native token of Binance, surged by approximately 7.40% to tap $613 on Thursday before recoiling following reports that the Trump family has been exploring a potential investment in Binance.US.

According to sources cited by The Wall Street Journal (WSJ), Donald Trumps family members have considered acquiring a stake in Binances U.S. division. Discussions reportedly began in 2024, when Binance.US was actively seeking strategic partners to strengthen its position in the American market.

While the exact terms of the discussions remain unclear, speculation suggests that the Trump familys interest in Binance.US aligns with its broader involvement in the crypto space. The family has previously supported blockchain initiatives, including World Liberty Financial (WLFI), a DeFi project. Some analysts believe that any potential deal could integrate WLFI into Binance.US operations.

The prospect of the Trump family investing in Binance.US raises concerns over regulatory oversight and political influence. Binance has been under intense scrutiny from U.S. regulators, especially after its 2023 plea agreement in which the company admitted to violating anti-money laundering laws. The settlement led to the resignation of Binances former CEO, Changpeng Zhao (CZ), who was sentenced to four months in prison and fined $50 million.

Despite his release in September 2023, Zhao remains Binances largest shareholder. Some insiders speculate that the Trump familys involvement could be tied to efforts to secure a presidential pardon for CZ.

However, Zhao has categorically denied any discussions with Trumps family, dismissing the reports as misinformation aimed at discrediting Binance and the broader cryptocurrency industry.

Sorry to disappoint. The WSJ article got the facts wrongI have had no discussions of a Binance US deal with well, anyone, Zhao tweeted shortly after the story broke.

He also suggested that journalists had pressured sources to confirm a narrative regarding a potential pardon deal.

More than 20 people have told me they were asked by the WSJ (and another media), Can you confirm that CZ made some deal for a pardon?In essence, they tried hard to make a story to report. He added. Feels like the article is motivated as an attack on the President and crypto, and the residual forces of the war on crypto from the last administration are still at work.

Notably, Trumps potential involvement with Binance.US could have major implications for U.S. crypto regulations, especially as his administration pushes for pro-crypto policies. It could also open the door for the exchanges expansion.

Recall that in December 2022, Binance.US agreed to acquire Voyager Digitals assets for $1.022 billion to return cryptocurrency to customers. Although the deal received court approval in April 2023, Binance.US withdrew later that month, citing a hostile and uncertain regulatory climate in the U.S.. These conditions could shift if a similar deal were pursued under a more favorable administration.

Text source: ZyCrypto

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