Democratic Senators Demand Probe into Binance's Trump Family Ties

Holy crypto chaos! A squad of Democratic U.S. senators is demanding a federal investigation into Binance's wild connections with the Trump family's crypto venture, World Liberty Financial. Buckle up, folks, because this rollercoaster is just getting started!

This bombshell investigation request comes hot on the heels of a mind-blowing $2 billion investment that's got everyone's compliance alarms blaring. Brace yourselves, because the details are about to hit you like a ton of Bitcoins.

In a no-holds-barred letter to Treasury Secretary Scott Bessent and Attorney General Pam Bondi, Senators Elizabeth Warren, Chris Van Hollen, Sheldon Whitehouse, and Richard Blumenthal are pulling no punches. They want a full-blown review of this insane transaction, Binance's U.S. exit plans, and whether a pardon for former CEO Changpeng Zhao is even on the table. Get ready for the ultimate crypto showdown!

The letter dropped like a bombshell after revelations that Abu Dhabi-based firm MXG used USD1—a stablecoin issued by World Liberty Financial, a company straight-up tied to the Trump family—to invest in Binance. Mind. Blown.

This transaction, which went public on May 1, has got everyone's spidey senses tingling with fears of regulatory conflicts and potential political influence. Hold onto your hats, because this ride is about to get wild!

World Liberty co-founder Zach Witkoff spilled the beans that USD1 was chosen to seal the deal during a panel appearance with Eric Trump at the Token2049 conference in Dubai. Talk about a crypto power move!

Binance's rocky past

Let's not forget Binance's shady past, folks. They've already admitted to violating U.S. anti-money laundering and sanctions laws, agreeing to a jaw-dropping $4.3 billion settlement and promising to bounce from the U.S. market. Former CEO CZ resigned and did a four-month stint in U.S. custody as part of the plea deal with the Treasury Department, the Department of Justice, and the CFTC. Talk about a crypto scandal for the ages!

The senators are not messing around, warning that Binance's use of a Trump-affiliated stablecoin "raises even more urgent questions" about the exchange's compliance. They're also calling out reports that Zhao was lobbying for a potential presidential pardon and that the Trump family was eyeing a stake in Binance.US. This is getting crazier by the minute!

Lawmakers want answers, and they want them now. They're demanding updates by May 21 on Binance's adherence to its plea agreement, its timeline for leaving the U.S., and any communication with federal agencies regarding USD1 or pardons. The heat is on, and it's about to get even hotter!

This letter comes hot on the heels of Senate Democrats blocking a stablecoin bill, citing the lack of provisions to stop Trump and other senior officials from profiting from crypto ventures while in office. The bill's future is as uncertain as a crypto market on a wild day, but discussions are still going strong. Stay tuned, because this story is far from over!