The founder and former CEO of Binance, Changpeng CZ Zhao, denied the publication from The Wall Street Journal (WSJ). The article claimed that he struck a deal with U.S. authorities and would testify against Tron founder Justin Sun. Zhao called the article defamatory and aimed at undermining his reputation and that of Binance. Shortly before the publication, CZ stated that many people said WSJ was writing yet another baseless hate piece about him.
According to WSJ, Zhao allegedly agreed to this to resolve his own legal issues.
"WSJ is really trying. It seems they forgot who went to prison and who didn't. People who become government witnesses don’t go to prison. They are protected. I heard someone paid WSJ staff to slander me," Zhao said.
He added that lawyers have already contacted the publication demanding a retraction.
In 2023, Binance reached a settlement with the U.S. Department of Justice, paying a fine of $4.3 billion for violations related to money laundering and sanctions. CZ stepped down as CEO and pleaded guilty to separate charges that include inadequate anti-money laundering protections. He spent 4 months in prison.
As for Justin Sun, according to a WSJ publication, he is under close scrutiny from regulators. In 2023, the U.S. Securities and Exchange Commission (SEC) charged Sun and associated companies with allegedly selling unregistered securities through TRX and BTT tokens.
Sun also denied any conflicts with CZ, calling him his mentor and close friend. At the same time, the Tron founder added that the U.S. Department of Justice is one of the closest and most reliable partners of the T3 Financial Crimes Unit (T3FCU), and that together they have worked on numerous cases aimed at protecting users.
The Binance exchange token has remained resilient to rumors, with BNB priced at $589 at the time of writing.
(Article by Tetiana Nechet, ITC.ua)
