According to the Wall Street Journal, the Trump family might be negotiating to acquire a stake in Binance US, the American arm of the world's largest crypto exchange. Simultaneously, there's another issue in play: the request for a presidential pardon from former Binance CEO Changpeng Zhao, also known as CZ.
Trump's Growing Ties to Crypto
Donald Trump's changing stance on cryptocurrencies has drawn significant attention. From being initially opposed to the crypto industry, he has become one of its major advocates during the upcoming 2024 election cycle. His campaign actively courts support from crypto investors, accepting donations in Bitcoin, Ethereum, and Solana. The Trump family has already shown interest in crypto initiatives, backing the World Liberty Financial project in 2024 and launching their own tokens on the Solana blockchain.
CZ's Pardon Request and the Political Angle
Allegedly, CZ reached out to Trump's allies seeking a presidential pardon following his guilty plea to violating U.S. anti-money laundering laws. In 2023, Zhao agreed to a $4.3 billion settlement and served a four-month prison term. The idea of a possible political deal between Trump and Binance, involving Trump's investments in the exchange coupled with Zhao's pardon, is creating a lot of discussions. However, CZ denies these rumors.
The Crypto Community Reacts
The possibility of the Trump family owning a stake in Binance US has divided opinions within the crypto space. Optimists view this step as a sign of legitimization for the industry, while skeptics are concerned about excessive centralization and the potential influence of personal financial interests on policy decisions. One vocal critic, commentator Ed Krassenstein, expressed concerns on social media, highlighting potential repercussions of such moves by the former president.
Currently, the Trump family's involvement in Binance US remains unconfirmed, but should it proceed, it might have serious implications on cryptocurrency regulations in the US. The ongoing discussions regarding CZ's pardon and other prior crypto ventures by Trump ensure that this story will remain in the news for some time.
