CZ, the founder of Binance, has utterly disputed claims that, in a plea deal with US officials, he provided information on other big names in the cryptocurrency world, including Justin Sun, who is the founder of Tron. Debate and conjecture centered around these claims, which including cryptocurrencies first became aware of when the Wall Street Journal published them.
Zhao made the post on X (formerly Twitter) after publicly addressing the issue, saying the reports were false and that he had not provided any such proof in court. However, he stressed that he pleaded guilty under a plea agreement with them, and that he left one guilty, just like everyone else who entered one, if anybody did, did so in exchange for leniency. In his response, the legal team simply pointed to straight forward response to dispel what it deemed as false information, confirming that his legal team had not worked with any other Cryptocurrency figures.
The denial is also after Zhao pleaded guilty in November 2023 to breaking US anti-money laundering laws. As part of the settlement, he agreed to four-month prison term and a $50 million personal fine. With him at the helm, Binance also inked a large $4.3 billion deal with U.S. regulators like the Financial Crimes Enforcement Network (FinCEN), the Commodity Futures Trading Commission (CFTC), and the Department of Justice (DOJ). The business said that it operated without the necessary license and allowing transactions to proceed that contravened sanctions, especially when users were from sanctioned countries like Iran.
The US has been shaking the cryptocurrency market by more than ran times with major platforms and exchanges being targets in investigations, settlements, and lawsuits. Under the terms of the deal, Zhao stepped aside as Binance’s CEO and his was one of the most widely covered enforcement actions in the industry. Richard Teng led Binance as its global head of regional markets before he was chosen to replace him.
Zhao also responded to rumors that he was considering asking Donald Trump for a pardon. However, according to him, any man placed in his position would accept something similar as a gesture if such a thing were offered, but he didn’t confirm any attempts to get a pardon.
With Zhao and the exchange both in the spotlight for public and regulatory watches, Zhao’s denial of these most recent accusations is an effort to protect the credibility and thwart rumors around how Binance is being run by new leadership. The events that are happening right now emphasizes wider difficulties and regulatory demands that the global cryptocurrency market are facing.
