Key Takeaways
- Justin Sun dismisses reports of Binance co-founder CZ cooperating with the DOJ against him.
- Binance seeks reduced federal oversight from US Treasury to re-enter the US market.
- Negotiations between Binance and World Liberty Financial hint at a stablecoin partnership.
Justin Sun, the visionary behind TRON, has refuted claims made by The Wall Street Journal that Changpeng “CZ” Zhao, co-founder of Binance, collaborated with the US Department of Justice (DOJ) to incriminate him.
The report published on April 11 alleged that CZ provided evidence against Sun in exchange for leniency regarding anti-money laundering violations. The DOJ’s scrutiny on Sun for potential financial infractions under the current administration was reportedly the cause of investigation.
“I am unaware of these rumors circulating. CZ is not only my mentor but also a close friend who has been pivotal in supporting me throughout my entrepreneurial journey. His values and ethics set the standard I aspire to uphold as a founder,” Sun clarified in a statement.
Sun emphasized his ongoing cooperation with US authorities, stating, “The Department of Justice has been a trusted ally of T3FCU, and together we have collaborated on numerous cases to safeguard global users.”
Reiterating his professional rapport with CZ and the DOJ, Sun expressed full confidence in their integrity and transparency.
“Despite attempts to sow discord through baseless rumors, whether it’s CZ or our DOJ partners, our communication is always direct and honest. I have complete faith in their integrity,” Sun affirmed.
“The intent behind spreading rumors is to divide us rather than unite us. In the realm of crypto, unity is crucial for transformation. Every vote counts!” Sun emphasized in a separate declaration.
Recently appointed as a Strategic Advisor to the Pakistan Crypto Council, CZ anticipated the publication of a forthcoming report targeting him, as per his tweet.
Amidst discussions with US Treasury officials, Binance is striving to alleviate federal scrutiny to re-establish its presence in the US market, following a 2023 guilty plea and a $4.3 billion settlement with the DOJ.
Binance is also exploring a partnership with World Liberty Financial (WLFI) to list USD1, a stablecoin endorsed by the Trump family, indicating a burgeoning alliance between the two entities as the new administration showcases a favorable stance towards the digital asset sector. The DOJ’s recent dissolution of its crypto crimes unit and pause on corporate monitoring align with its objective to shift from regulation through prosecution.
Previous reports suggested that the Trump family was contemplating an investment in Binance.US, with CZ allegedly seeking a presidential pardon. CZ refuted these claims, labeling them as attacks on the President and the crypto industry.