The conflict between the leading cryptocurrency exchange Binance and Coinbase has resurfaced due to allegations of unfair practices. Former Binance CEO Changpeng Zhao commented on claims that Coinbase may have been behind a recent Bloomberg report about a cryptocurrency project associated with Donald Trump.
Allegations Against Coinbase
Crypto commentator Matt Wallace suggested that high-ranking Coinbase executives are concerned that a potential return of Binance to the US market following a presidential pardon for Zhao could negatively impact their business. In his post on X, Wallace stated, "Binance is the world's #1 crypto exchange. Binance's return with full legal support could severely damage Coinbase's business."
Stablecoin USD1 and Zhao's Accusations
According to Bloomberg's report, Binance developed the smart contract for the stablecoin USD1, issued by World Liberty Financial and linked to former President Donald Trump. Zhao later labeled the article as a "hit piece (sponsored by a competitor)," arguing that it contained so many factual errors that he might consider suing for defamation.
Zhao's Gradual Reincarnation
After serving a sentence imposed by US authorities, Zhao, who pleaded guilty to a felony count, sought a presidential pardon from former President Trump. He hopes such a pardon would enable him to take on an operational role at a US cryptocurrency business. Meanwhile, he has already become an adviser to several countries regarding cryptocurrency regulation.
The disputes between Binance and Coinbase continue to escalate amid allegations of unfair practices and new statements regarding Changpeng Zhao's pardon. The developments could impact the cryptocurrency market both in the US and globally.
