A group of Democratic senators has reportedly sent a letter to U.S. Attorney General Pam Bondi and Treasury Secretary Scott Bessent, urging them to investigate former President Donald Trump’s connections to Binance. The letter, first reported by Bloomberg on May 9, highlights potential conflicts of interest surrounding Trump’s deepening ties to the cryptocurrency exchange amid ongoing regulatory scrutiny.
For stablecoins and other digital assets to thrive globally, the world needs American leadership.
— Treasury Secretary Scott Bessent (@SecScottBessent) May 8, 2025
The Senate missed an opportunity to provide that leadership today by failing to advance the GENIUS Act.
This bill represents a once-in-a-generation opportunity to expand dollar…
Binance Settlement and Trump’s Crypto Ventures
The concerns stem from Binance’s $4 billion settlement with U.S. regulators in November 2023, which included the resignation of then-CEO Changpeng Zhao. As part of the deal with the Justice Department, Treasury, and Commodity Futures Trading Commission, Binance was required to adhere to stricter compliance obligations. However, reports of Trump’s involvement with Binance — including his family-backed crypto venture, World Liberty Financial — have raised alarms among lawmakers.
Trump has reportedly leveraged his political position to profit from cryptocurrency ventures, including launching his own memecoin, which generates millions in transaction fees. Additionally, World Liberty Financial recently secured a $2 billion investment from Abu Dhabi-based MGX, with the transaction settled using Binance’s USD1 stablecoin.
Also Read: PEPE Coin Breaks 200 EMA with 35% Rally – Will Binance Traders’ 22% Target Hold?
Stablecoin Bill Blocked Amid Controversy
The letter from Democratic senators came just hours after the Senate blocked a vote on the GENIUS Act, a proposed bill aimed at regulating stablecoins. Senator Elizabeth Warren, who signed the letter, expressed concerns over what she described as Trump’s efforts to “facilitate corruption” through his cryptocurrency dealings. The stablecoin bill, if passed, could have limited Trump’s ability to use executive powers to shape crypto regulations for personal gain.
Meanwhile, former Binance CEO Zhao, who recently applied for a federal pardon from Trump, remains under scrutiny. Despite serving four months in prison for his role in the regulatory violations, a pardon could enable Zhao to re-enter the crypto industry and potentially reclaim a management role at Binance.
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