Binance Founder Changpeng Zhao (CZ) Again at the Center of a Media Storm

Binance founder Changpeng Zhao (CZ) is again at the center of a media storm, following a Wall Street Journal (WSJ) report claiming he agreed to assist U.S.

Binance founder Changpeng Zhao, commonly known as "CZ," is once again at the center of a media storm. According to a recent report by the Wall Street Journal (WSJ), CZ agreed to assist U.S. prosecutors by providing evidence against Tron founder Justin Sun as part of a plea agreement with the U.S. Department of Justice (DOJ).

The news outlet claims that the cooperation was part of a broader deal with the DOJ, following which Binance would pay a hefty $4.3 billion penalty and face reduced oversight from the appointed independent monitor. However, CZ visibly expressed irritation with the WSJ report on Monday, branding it as another "attack" with no basis in truth.

"Now WSJ is fabricating stories again, and targeting me personally with no basis. They're really trying hard to come up with something new, I guess because they're bored?" CZ wrote on X, formerly Twitter.

The latest report by the WSJ focused on a new angle of the DOJ investigation into Binance, which began in 2018. According to the news outlet, CZ would offer testimony or incriminating information about Justin Sun, who is currently under SEC investigation for regulatory violations and fraudulent activity related to the Tron blockchain.

The report also mentions that despite being aware of Sun's legal troubles, CZ allegedly accepted an invitation from the Tron founder to attend a family gathering at the Trump hotel in San Diego during the summer of 2023.

In response to the allegations, Justin Sun took to X to defend himself and express surprise over the claims.

"These allegations are completely fabrications and untrue. I can attest to that openly and welcome anyone to verify. I have nothing but the utmost respect for Changpeng and value our friendship greatly," Sun stated.

He went on to mention that Tron has been transparently communicating with the DOJ throughout the investigation, adding that he prefers to leave political commentary to those who excel at it.

"I also want to add that I’m a big fan of President Trump's stance on crypto and wish he continues to speak up for it. It would be interesting to see how the crypto landscape in the U.S. changes under a new administration."

At the same time, Binance is quietly trying to mend its standing in the U.S. crypto market following a tumultuous year that culminated in March with a record-breaking $4.3 billion penalty imposed by the U.S. Treasury Department.

According to industry sources, Binance CEO Richard Teng and top officials recently met with the Treasury Department to discuss the possibility of eliminating or reducing the oversight of an independent monitor appointed as part of the penalty. The monitor was imposed after Binance admitted to facilitating illegal financial activity, failing to register with the U.S. and implement required anti-money laundering (AML) programs.

Furthermore, whispers in the industry suggest that Binance is aligning itself with pro-Trump crypto ventures—most notably World Liberty Financial’s USD1 stablecoin, backed by Justin Sun and linked to Trump-affiliated interests. A potential listing of the token on Binance could bring major financial benefits—and, possibly, political goodwill.

As the U.S. government reconsiders its crypto enforcement strategies, especially with the possibility of a Trump resurgence in the upcoming election, Binance appears to be repositioning itself despite the fallout from the DOJ investigation and subsequent penalty.

Despite a brief term in a Chinese prison during his youth, which he disclosed in a recent interview, CZ remains a powerful figure in the crypto sphere. While he claims to have no involvement with Trump-backed initiatives, his longstanding industry relationships may prove influential as the dust settles on this chapter of the Binance saga.

With the DOJ, SEC, Sun, and even the Trump family now entangled in the evolving narrative, the next steps for CZ—and Binance’s American revival—remain uncertain. But one thing is clear: the drama is far from over.