Trump Reportedly Eyeing Stake in Binance.US

There are rumors that the Trump family is in talks to acquire a stake in Binance.US, the American arm of the global digital currency exchange Binance. However, this potential deal appears to involve significant political and personal motivations.

According to reports, Binance’s majority owner and former CEO, Changpeng Zhao, has been seeking a presidential pardon. This raises questions about whether the Trump family’s proposed stake in Binance.US is part of a broader negotiation to secure that pardon.

From Trump’s perspective, a deal like this aligns with his administration’s push to position the United States as the global hub for cryptocurrency. Over the years, he has signed executive orders to advance the industry, publicly voiced support for crypto-related businesses, and even launched his own crypto products, including a memecoin. Taking ownership of a major exchange like Binance.US could be seen as another step in his effort to strengthen the industry’s presence in the U.S.

However, such a move raises ethical concerns. If Trump were to hold a stake in Binance.US while simultaneously shaping policies that impact cryptocurrency exchanges, it could lead to allegations of insider trading—an issue that has become common in the crypto industry this year.

For CZ, securing a pardon would be transformative. His 2023 guilty plea for violating U.S. anti-money laundering (AML) laws has placed significant restrictions on his ability to conduct business. Being a convicted felon limits his ability to obtain investment, secure operational licenses, and expand into certain jurisdictions—including the U.S. A deal with the Trump family could be his way of overcoming these barriers and rebuilding the Binance empire.

However, after the story broke, CZ took to social media, denying any discussions of a Binance.US deal with Trump or his family. In a post on X (formerly Twitter), CZ claimed that the original report by The Wall Street Journal (WSJ) got its facts wrong, stating, “I have had no discussions of a Binance US deal with… well, anyone.”

While this could be a genuine denial, there is the possibility that this response is part of a broader communication strategy to take the deal off the public’s radar. It’s also possible that discussions were happening but didn’t progress as CZ had hoped, leading him to shut down the rumors publicly. On the contrary, CZ could just be telling the truth, and the nature of the conversations between the Trump family and Binance could have been entirely different from what was initially reported.

This is an instance where time will tell because if Binance receives investment or CZ gets a pardon, it is likely to come to light in the future.

The USA’s Strategic Bitcoin Reserve Prompts Global Crypto Policy Shifts

Last week, the United States signed an executive order establishing a national BTC strategic reserve. Despite the market continuing to struggle following this news, it marks a step toward mainstream acceptance of cryptocurrency.

The impact of this decision is already being felt globally. Shortly after the U.S. announcement, China and Russia adjusted their stances on digital assets. The Chinese government clarified that cryptocurrency ownership is legal, while Russia’s central bank announced that it would allow investors to purchase digital assets under specific conditions.

This reaction highlights the role of geopolitical game theory in the evolution of digital finance. No country wants to lag behind in a sector essential for shaping the future of global financial systems. When the U.S. takes a bold step like stockpiling Bitcoin, other nations, especially its rivals, feel pressured to follow suit to remain competitive.

Domestically, the U.S. government has been making efforts to create a more favorable environment for cryptocurrency businesses. Under the Biden administration, regulatory uncertainty and aggressive enforcement actions forced many companies to shut down or stay in a holding pattern. However, with a more crypto-friendly approach emerging, we’re witnessing a loosening of regulations, clearer policies, and an industry that is free to innovate.

3 Crypto Moves from the US Government This Week

This week, the U.S. government made three moves that could significantly impact U.S.-based cryptocurrency companies:

1. House Votes to Overturn IRS’s DeFi Broker Rule

In a 292-132 vote, the House of Representatives passed a resolution overturning the IRS’s controversial decentralized finance (DeFi) broker rule. Initially implemented on December 30, 2024, under the Biden administration, the controversial rule expanded the “broker” definition to include DeFi platforms, requiring them to collect and report user transaction data. With the House’s vote for repeal, it will move to the Senate for another vote before reaching the president.

2. Trump’s Executive Order to Ease Crypto Banking Restrictions

Trump is allegedly preparing to sign an executive order aimed at rolling back restrictions that hinder cryptocurrency companies from accessing traditional banking services. If enacted, this would be yet another pro-crypto action from the Trump administration, reinforcing the U.S. commitment to becoming a global leader in digital asset innovation.

3. SEC to Abandon Proposed Crypto Trading System Registration Rule

In another regulatory shift, the SEC appears to be backing away from a proposed rule requiring crypto companies to register as trading systems. SEC Commissioner Mark Uyeda stated that he asked staff for options to abandon that part of the proposal, which was initially raised in 2022. This signals a move away from the aggressive regulatory stance under former SEC Chair Gary Gensler.

All three developments, whether finalized or still in motion, point to the same trend: the U.S. government is actively making the country a more attractive place for cryptocurrency business. With fewer regulatory hurdles and policies aimed at fostering innovation, the U.S. aims to position itself as a dominant force in the global crypto economy.