Bloomberg reported potential connections between Binance and projects linked to the Trump family that may have received unofficial support from the largest crypto exchange.
Binance Support for USD1
According to a Bloomberg exclusive report, Binance may have developed the foundational technology for USD1, a stablecoin issued by Trump-affiliated World Liberty Financial Inc. Market participants confirmed that Binance was responsible for the initial code that enabled the issuance of USD1.
Reserves and Financial Interests
Blockchain data revealed by Bloomberg indicates that over $2 billion worth of USD1, accounting for approximately 90% of the total supply, is held in Binance wallets. These assets could yield tens of millions annually. According to the token's prospectus, the Trump family could be entitled to around $30 million yearly from reserve income.
Ethics and Conflict of Interest
If the allegations are accurate, President Donald Trump may be both a financial beneficiary and the only person capable of granting Changpeng Zhao's pardon, the Binance founder. The Trump administration asserts there is no conflict of interest, as the president's assets are held in a trust overseen by his eldest son. However, experts highlight the uniqueness of a situation in which a president's personal financial interests may intersect with official duties.
The connections between Binance and cryptocurrency initiatives linked to Trump raise questions about conflict of interest and transparency in the crypto industry.
