U.S. Regulation

Senate Democrats Probe Binance-Trump Ties Amid $2B Deal

Top Democratic senators are demanding urgent answers from U.S. officials over a growing controversy involving Binance, the world’s largest crypto exchange, and its alleged ties to the Trump family’s digital asset ventures. In a letter sent Friday to Treasury Secretary Scott Bessent and Attorney General Pam Bondi, Senators Elizabeth Warren, Chris Van Hollen, Sheldon Whitehouse, and Richard Blumenthal raised concerns about a $2 billion investment in Binance made in March. 

The transaction was financed by the Abu Dhabi-based corporation MXG and involved USD1, a stablecoin created by a business connected to the Trump family. On May 1, the deal was made public. Binance has previously pleaded guilty to serious U.S. legal violations, including money laundering and sanctions breaches. Its former CEO, Changpeng Zhao (CZ), stepped down and served four months in prison. Reports also suggest Zhao sought a presidential pardon from Trump’s circle.

The senators wrote, “The notion that this administration might permit Binance to continue operating and expanding in the United States is deeply troubling, particularly given that the company has shown time and time again its disregard for federal law and regulations that keep Americans safe.” The letter also highlighted Binance’s alleged business discussions with World Liberty Financial, a Trump-affiliated firm, and potential interest in listing a new Trump-linked stablecoin.

The controversy caused Senate Democrats to block a major stablecoin bill on Thursday. The bill lacked final text and did not include a ban on presidents and senior officials profiting from crypto ventures while in office. The senators are demanding a response by May 21, seeking updates on Binance’s U.S. exit, steps taken to enforce its plea deal, and whether any officials discussed a pardon for CZ or plans involving USD1 and World Liberty.

Terron Gold

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