The Wall Street Journal reported on the 13th that negotiations between Binance and Trump began last year, with Binance proactively contacting Trump's allies in the hopes of reaching a business agreement with the Trump family to return to the USA market. Steve Witkoff, a long-time friend of Trump, has been involved in negotiations regarding the Trade. For a long time, Binance founder Zhao Changpeng has actively sought a pardon from the Trump administration.
On the 13th, The Wall Street Journal reported that the Trump family is in negotiations to take a stake in the US branch of Binance.
If this move comes to fruition, it would mean establishing a business relationship between Trump and a company that has previously admitted to violating anti-money laundering regulations. Meanwhile, Binance founder Changpeng Zhao is also actively seeking a pardon from the Trump administration.
Reports indicate that negotiations began last year, with Binance proactively reaching out to Trump's allies in hopes of striking a business deal with the Trump family to facilitate a return to the US market. Steve Witkoff, a long-time friend of Trump, has been involved in discussions regarding this deal. He currently serves as Trump's chief negotiator on Middle Eastern and Ukraine-related matters.
It remains unclear what the specific structure of the deal would be, with potential options including the Trump family directly holding shares, or trading through the cryptocurrency company World Liberty Financial, which is supported by the Trump family.
However, on the same day, Zhao Changpeng responded on social media, stating that the report is not true and he has not discussed any Trade regarding Binance USA with anyone.
Seeking Cooperation: The Road to Binance's Return and the Trump Family's Cryptocurrency Strategy
Binance was founded in 2017 by Changpeng Zhao and quickly grew to become the largest cryptocurrency Exchange in the world.
However, Binance faces scrutiny from the US government due to allegations of facilitating trading with sanctioned entities and encouraging US users to evade anti-money laundering regulations. In 2023, Binance agreed to pay a total of $4.3 billion in fines to settle related charges, and Zhao stepped down as CEO of Binance but remains the largest shareholder.
According to reports citing informed sources, Steve Witkoff has been involved in negotiations regarding the Trade. Witkoff is a longtime friend of Trump and currently serves as Trump's chief negotiator for Middle Eastern and Ukraine-Russia matters.
Analysis suggests that for Binance, obtaining a pardon for Zhao Changpeng may pave the way for its return to the USA market and help expand its overseas Business.
For the Trump family, acquiring a stake in Binance's US division provides them an opportunity to participate in the recovery of the USA Cryptos Trading market. As the Trump administration relaxes regulations on the Cryptos Industry, Binance's US division was once a competitor to Coinbase and is currently seeking to regain its momentum.
Meanwhile, Binance executives have observed the case of crypto entrepreneur Sun Yuchen, who invested in the Trump-backed crypto company World Liberty Financial last fall while facing civil charges from the USA Securities and Exchange Commission (SEC). Reports citing informed sources suggest that injecting capital into World Liberty Financial in exchange for a pardon for Zhao Changpeng could be a viable route.
If the Trade materializes, it could trigger unprecedented conflicts of interest. The Trump family may expand its Cryptos Business by investing in Binance's US division, while Zhao Changpeng's pardon could further solidify Binance's position in the USA market.
Editor/Somer
