CZ Retweets Claims Coinbase Behind Bloomberg’s Trump Stablecoin Report

Binance co-founder and former CEO Changpeng “CZ” Zhao has reposted a tweet alleging that Coinbase was the “anonymous” source behind Bloomberg’s report targeting Trump’s crypto project, World Liberty Financial, and Binance.

In a Sunday post on X, crypto commentator Matt Wallace claimed Coinbase executives feared a potential pardon for Zhao and Binance’s return to the US market would threaten their market share, prompting efforts to undermine competitors.

“Binance is the world’s #1 crypto exchange,” Wallace wrote, warning that Binance’s return with full legal status could severely damage Coinbase’s business.

“What is most shocking is that Coinbase would target President Trump in an attempt to hurt their competition. This is anti-American! Will Coinbase fess up and face the heat for their poor decision? It will all come out soon!” he wrote.

Zhao retweeted the post without confirming it or denying it. Cointelegraph reached out to both Binance and Coinbase for comment but had not received a response by publication.

Related: ‘Is this real?’ CZ questions TON’s UAE Golden Visa as gov’t sources stay silent

Binance linked to Trump’s USD1 stablecoin

Bloomberg’s report alleged that Binance developed the smart contract for USD1, a stablecoin issued by World Liberty Financial, linked to former President Donald Trump.

The report also claimed Zhao applied for a presidential pardon shortly after USD1 was used in a $2 billion deal involving a UAE fund’s investment in Binance. It noted that over 90% of USD1 tokens remain in Binance wallets, potentially generating tens of millions in annual interest revenue.

On Sunday, Zhao called the article a “hit piece (sponsored by a competitor)” filled with “so many factual errors” that he “doesn’t even know where to begin.” He added, “Might have to sue them again for defamation.”

Related: Binance ties to Kenyan crypto board raise monopoly concerns: Report

Zhao seeks presidential pardon

Zhao pleaded guilty to one felony count as part of a settlement with US authorities in 2023. Although he had already served four months in prison, he said in May that he was seeking a presidential pardon from Trump. Such a pardon could potentially allow Zhao to return to a managerial or operational role at a US crypto business. 

Meanwhile, Zhao has been busy since his release. On April 4, he said he would begin advising Kyrgyzstan on blockchain and crypto-related regulation after signing an MOU with the country’s foreign investment agency.