Coinbase Slams Misinformation Linking It to Bombshell Binance-Trump Stablecoin Report

Crypto Giant Vehemently Denies Being the Anonymous Source Behind Bloomberg's Shocking Allegations

Holy smokes, Coinbase is firing back hard against wild claims that they spilled the beans to Bloomberg about Binance's supposed ties to a Trump-backed stablecoin project. They're not having it!

In a fiery July 13 post on X, Coinbase's top legal eagle Paul Grewal called the rumor "pure misinformation" and straight-up rejected any suggestion that his company had a hand in the explosive report. "We absolutely did not contribute to this story," he declared, adding that Coinbase doesn't throw shade at competitors and cheers on any biz that helps the crypto world grow.

"Sorry— this is pure misinformation. We absolutely did not contribute to this story. We don't attack competitors, and we welcome any businesses that share our goal of growing the crypto pie. You should keep looking for an actual source."

The drama started when crypto influencer Matt Wallace threw Coinbase under the bus, claiming without a shred of proof that they were the mystery source behind Bloomberg's bombshell. Wallace spun a tale that Coinbase was quaking in its boots, fearing that Binance - currently on a tight leash in the U.S. - might bust back into the market if Trump pardons its ex-CEO, Changpeng Zhao.

Wallace warned this could send Coinbase's market share into a nosedive. And get this - CZ himself reposted Wallace's accusations without saying a peep, adding fuel to the gossip fire!

The Bloomberg article that started all this madness dropped on July 11, claiming that Binance had a hand in cooking up the USD1 stablecoin, backed by Trump-linked World Liberty Financial, by writing its smart contract. It also said the token was part of a massive $2 billion investment in Binance from a UAE-based fund, and that a whopping 90%+ of USD1 was still chilling in Binance wallets.

The report also spilled the beans that Zhao is hunting for a pardon after copping to anti-money-laundering law violations in 2023. But Zhao wasn't having it, blasting the article as "FUD" and claiming it was a competitor's dirty work, packed with so many factual flubs he didn't know where to start. He even hinted at another defamation lawsuit against Bloomberg, after their 2024 dust-up.

"FUD. Bloomberg just wrote another hit piece (sponsored by a competitor) containing so many factual errors I don't even know where to begin. Might have to sue them again for defamation."

Neither World Liberty Financial nor the White House bothered to respond to Bloomberg's questions. While the report leaned on unnamed sources and blockchain data, it didn't drop a single hint that Coinbase was in on it.