Binance the US represents the American branch of the globe’s most significant cryptocurrency exchange, and it has become the target of negotiations for a possible stake purchase from the Trump family since Binance founder Changpeng Zhao (CZ) is now seeking a presidential pardon following his admission of guilt for anti-money-laundering law violations as reported by The Wall Street Journal.
Binance started their discussions with Trump associates during the previous year to get back into the U.S. market. The possible transaction could directly impact Trump family members but World Liberty Financial stands as the potential vehicle backed by Trump to execute this deal since its September launch. It remains unspecified if Binance would acquire a stake from Trump only after Zhao secures a presidential pardon.
According to WSJ sources, Steve Witkoff has participated in these discussions because he is a Trump associate who leads administration diplomacy for Ukraine and the Middle East.
Binance Settles $4.3B Case With U.S. Regulators
Binance settlement with US authorities in 2023 reached $4.3 billion due to chargebacks of illegal money processing. After the settlement, Zhao ended his role as CEO and spent four months in prison, but he still retains the majority of exchange ownership.
As the new Binance CEO Richard Teng directs company efforts, he works to find acceptable ways for Binance to return to U.S. markets. An internal team is working on meeting all required regulations with emphasis on resolving the problems stemming from Zhao’s criminal record.
The Trump administration’s favorable views of cryptocurrencies create more opportunities for Binance to return to business. A possible financial relationship between Trump’s family and Binance creates ethical concerns because Trump holds business interests during his presidency.
Several news reports show that Binance executives analyzed how crypto entrepreneur Justin Sun dealt with SEC charges after he invested $30 million into Trump’s World Liberty Financial last year. Sun’s investment caused the SEC to suspend its case against him, which prompted Binance sources to evaluate if this strategy could help them.
Binance took another step to enhance its financial stability by agreeing to a $2 billion investment from MGX obtained through support from the UAE.
None of Binance nor Trump team members have shared information about their reported talks with the media.
