CZ claps back against ‘baseless’ US plea deal allegations

Changpeng “CZ” Zhao, former CEO of Binance, has denied claims that he agreed to supply proof against Tron founder Justin Sun as a part of a plea deal with the United States Department of Justice (DOJ).

In an April 11 report, The Wall Street Journal cited unnamed sources alleging that CZ had agreed to testify against Sun below the phrases of his settlement with US prosecutors.

“As part of Zhao’s plea deal, he agreed to give evidence on Sun to prosecutors,” an “arrangement” that “hasn’t previously been reported,” the WSJ report said, citing sources aware of the matter.

“WSJ is really TRYING here. They seem to have forgotten who went to prison and who didn’t,” Zhao wrote in an April 12 X put up. “People who become gov witnesses don’t go to prison. They are protected. I heard someone paid WSJ employees to smear me.”

CZ was sentenced to 4 months in jail in April 2024 for Anti-Money Laundering (AML) violations. He walked free from federal jail on Sept. 27 because the wealthiest particular person to ever serve a US jail sentence, with a $60 billion internet value on the time.

In a separate April 11 put up, CZ claimed a number of people had warned him in regards to the Journal’s intentions to publish what he described as a “hit piece.”

Sun stated he was “not aware of the circulation rumors,” calling CZ his “mentor and close friend,” Cointelegraph reported on April 11.

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“Some players are lobbying against us again in the US” — CZ

CZ additional speculated that the report might be linked to lobbying efforts against him and his former firm.

“I also heard some rumors about some players ‘lobbying’ against us again in the US,” CZ stated.

Cointelegraph has approached CZ for extra particulars on the lobbying claims.

In November 2023, Zhao stated that “FTX sought regulatory ‘crack down’ on Binance to increase market share,” citing a Federal Newswire report.

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Zhao’s feedback come over a month after crypto donations raised affect issues amongst trade individuals.

Crypto corporations spent over $134 million on the 2024 US elections in “unchecked political spending,” which presents some important challenges, Cointelegraph reported on March 10.

“While the companies making these contributions may be seeking a favorable regulatory environment, these political donations further erode public trust and expose companies to legal, reputational, and business risks that cannot be ignored,” based on a March 7 report by the Center for Political Accountability (CPA).

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