Donald Trump’s bonds with the world of cryptography could become even deeper if discussions reported with Binance led in a way to a working relationship with the greatest exchange of cryptocurrency in the world.
Discussions – as described last week in separate stories Wall Street Journal And Bloomberg – would have the potential to bring one of the largest players in the world of digital assets and an American president closer who is committed to having America “the cryptographic capital of the planet”.
Trump has already signed decrees that benefit the industry and have committed to helping the legislation that industry promotes. At the same time, it has existing interests in other cryptographic companies that benefit whether the value of digital assets increases.
Until now, discussions with Binance have included a Trump family participation in the American arm of Binance, according to the Wall Street Journal, which reported that the former CEO of Binance, Changpeng Zhao, is also looking for forgiveness for the administration. In 2023, Zhao pleaded guilty to having violated the American money laundering requirements.
The founder and former CEO of Binance, Changpeng Zhao, who pleaded guilty of having violated American law by not implementing a program to prevent money laundering, arrived for his conviction before the Federal District Court in April 2024. (Reuters / Deborah Bloom) ·Reuters / Reuters
Bloomberg reported that the conversations included the possibility of a stablecoin of Binance and World Liberty Financial, a cryptographic company with links with the Trump family and Steve Witkoff’s family, the President’s envoy in the Middle East. Stablecoins are fixed to other assets, such as the dollar.
A Trump administration official denied Witkoff’s participation in the Wall Street Journal and said he was diverting his business ties.
The Zhao de Binance, on the social media platform X, denied discussions on a trade agreement with World Liberty Financial or a Pardon Agreement for anyone related to the Trump administration. He also denied that Binance bought the crypto token of World Liberty.
In an article on X, World Liberty called reports from the Wall Street Journal and Bloomberg “without foundation”, without going into more details.
A closer relationship with Binance, if it happened, would give the president even more exhibition to the world of cryptography when he held the promises he made to industry during his first 100 days in power.
Just before the inauguration of Trump, his team launched an official even play for the 47th president (Trump) and one for First Lady Melania Trump (Melania) on Solana’s blockchain.
Fight Fight Fight LLC and CIC Digital LLC, an affiliate of the Trump organization, holds 80% of the total supply of the same corner, subject to a three -year unlocking calendar, according to disclosure on the same corner website.
Its homonym Trump Media & Technology Group (DJT) also wishes to launch a negotiated Bitcoin fund and said that it would allocate up to $ 250 million in cash related to a company called truth.fi in cryptocurrencies and other investments.
As for World Liberty, Trump and his sons are donors of this crypto project, launched in 2024, and they promoted it on social networks. The president is listed on the World Liberty website as “Chief Crypto Advocate” while his sons – Eric, Donald Jr. and Barron – hold the title of “Web3 ambassador”.
In exchange for this promotion, a family limited liability company from Trump receives 22.5% of the project crypto token, as well as 75% of net revenues after World Liberty earns 30 million dollars.
People pass in front of an cryptocurrency exchange office with a screen featuring President Trump holding cryptocurrency parts in Hong Kong. (Mladen Antonov / AFP via Getty Images) ·Mladen Antonov via Getty Images
Witkoff, the President’s envoy in the Middle East, and his sons Zach and Alex are all listed as co-founders of World Liberty. Zach Witkoff was part of an exclusive group of Crypto leaders invited to the very first crypto summit in the White House on March 7.
The president is not obliged by law to give in any of his assets during his functions, even if potential conflicts of surface interest. A law adopted in 1977 obliges it to file an annual disclosure listing its income, its assets and its debt.
Since its entry into office, Trump has actually delivered some of its promises to industry via two decrees.
The first forbidden in the United States to create a digital currency from the central bank and has established an intergovernmental presidential working group on digital assets that has driven the ball on its greater wishes for industry.
His second order asked the government to establish a Bitcoin reserve and a separate cryptography stock, the gathering with digital assets seized and confiscated not already sold by the federal government.
The president has also promised to allow the development of a federal regulatory framework for cryptographic markets, which, in hope, will facilitate business in the United States and become more closely linked to Wall Street.
On Thursday, the senatoric banking committee took a step in this direction by advancing the legislation on stables which would establish rules on how bank regulators would oversee companies that issued such parts.
From left to right, trade secretary Howard Lutnick, Treasury Secretary Scott Bessent, President Trump, AI of the White House and Crypto Czvid Sacks, and Bo Hines, member of the Presidential Council for Digital Assets, attend the cryptographic summit of the White House on March 7 (Pool via AP) ·Associated Press
Binance, who had several clashes with the US government during the Biden administration, has already paused during Trump’s second term. Last month, the SEC held a civil prosecution against Binance and Zhao filed in June 2023, alleging violations of titles.
In November 2023, Binance pleaded guilty to an American federal court to money laundering, transmission of money-free money and offenses to offenses, in particular by facilitating transactions from the Palestinian militant organization and the terrorist group designated by the United States Hamas.
He was sentenced to a fine of $ 4.3 billion. Then, CEO Zhao agreed to pay a fine of $ 50 million and resign as the CEO of the company, but was authorized to maintain his majority property within the framework of the agreement.
In April 2024, Zhao was sentenced to four months in prison after pleading guilty to having violated the American anti-flowage laws. Binance currently does not give any official competence for its registered office.
On Wednesday, the company said that it was taking its first institutional investment from AI ABA based in Abu Dhabi and the advanced technology investor MGX. The participation of $ 2 billion must be paid in a stablecoin.
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David Hollerith is a main Yahoo Finance journalist covering the bank, crypto and other areas in finance.
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