The post CZ threatens to sue Bloomberg over report linking Binance to Trump-backed USD1 stablecoin appeared on BitcoinEthereumNews.com.

Binance founder Changpeng Zhao or CZ threatened to sue news agency Bloomberg for a second time over its report alleging links between the exchange and the USD1 stablecoin. In an X post on Friday, CZ called the article “another hit piece” that was “sponsored by a competitor,” without explicitly naming the competitor. He dismissed it as a report meant to sow fear, uncertainty, and doubt, popularly referred to in crypto lingo as FUD. CZ stated that the Bloomberg report contains “so many factual errors I don’t even know where to begin,” adding: “Might have to sue them again for defamation.” The contentious Bloomberg report At the center of CZ’s legal threat is a Bloomberg report published on Friday. Citing three anonymous sources, the report alleged that Binance had developed the basic smart contract code that powers the USD1 stablecoin. World Liberty Financial, a crypto firm linked to U.S. President Donald Trump and his sons, launched USD1 on May 22. The same day, The Wall Street Journal published a report claiming that CZ was playing the role of a ‘fixer,’ introducing the World Liberty Financial team to international dignitaries. CZ denied the claims in the report. The launch of USD1 came nearly a month after World Liberty Financial founders met with CZ amid a global adoption push. Soon after, an Abu Dhabi-based firm made a $2 billion investment in Binance, which was settled using USD1. The Bloomberg report further claimed that nearly 90% of all USD1 remains in Binance’s wallets, potentially generating tens of millions of dollars in interest for the Trump family. Soon after the Binance deal involving USD1, CZ sought a pardon from Trump. CZ was convicted and was released after four months in prison last year for failing to maintain appropriate guardrails on Binance to prevent money laundering.…

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Filed under: News - @ July 13, 2025 12:28 am