President Donald Trump’s pardon of former Binance CEO and founder Changpeng “CZ” Chao made headlines around the world. But this move could be part of a deeper story unfolding behind the scenes. NoOne CEO Ray Youssef suggested that CZ is aligned with the US establishment, which he claimed is the very faction that truly runs Binance.
The decision reignited speculation that U.S. authorities, and now U.S. politics, have far more influence over the world’s largest cryptocurrency exchange than many are willing to admit.
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Who really runs Binance?
In a recent BeInCrypto podcast episode, Youssef dismissed the idea that Binance has ties to the Chinese Communist Party. This is a claim often repeated by critics. Rather, he argued, the exchange had become an instrument of American power.
He also alleged that President Trump and his family are involved in this network of influence. Youssef suggested that CZ is working not only with U.S. regulators, but also with people close to Trump himself.
“Folks, Binance is not the Chinese Communist Party. The Chinese Communist Party was never supposed to be this much of a gangster and criminal. No, CZ aligned himself with Uncle Sam. And the Trump family and they are in this together. The Chinese are not this stupid, they are not this criminal, and they are not gangsters. But Uncle Sam is and that is who CZ is working with,” he told BeInCrypto.
He claimed that after CZ’s guilty plea and Binance’s $4 billion settlement with the US Department of Justice, the company was effectively placed under Washington’s control. He claimed that court-ordered compliance monitors transformed Binance from an offshore exchange to a U.S.-controlled asset.
“That’s why we do KYC every two weeks on Binance. They run the company. Not the Chinese. Uncle Sam runs Binance,” the CEO added.
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Is Binance the new FTX?
Interestingly, Youssef drew similarities between Binance and FTX, the defunct exchange once led by Sam Bankman Fried. The executive stressed that FTX was a “state-led” establishment intended to fail. Nevertheless, CZ’s involvement brought its implosion ahead of schedule.
According to Youssef, Binance is now the new centerpiece of what he describes as the “controlled disruption” of the crypto industry. He said:
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“Binance is literally the new FTX, but it’s only going to burst when it wants to burst, and when it does burst, it’s going to do the most damage. When CZ burst the FTX bubble, the damage was basically 1% of what the states had planned. Now they’re trying to use Binance with the intention of making the corpse explode before our eyes.”
Yousef predicted that Binance’s chances of failure would be “1000 times worse than FTX.” He argued that FTX’s collapse happened too soon, before reaching bankruptcy level. In contrast, he warned that a future crash on Binance could shake up the entire digital asset market.
It is well known that Binance is the world’s largest cryptocurrency exchange. A previous CoinGecko report indicated that Binance controls nearly 40% of the global crypto market, and any disruption could have devastating effects for institutional and retail investors.
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White House: Biden’s ‘war on crypto’ is over after CZ pardon
Although Youssef’s claims raise concerns about US influence over Binance, Washington’s official position paints a very different picture. White House press secretary Caroline Levitt said the Biden administration’s action against CZ is part of a broader enforcement effort against the cryptocurrency industry.
“The Biden administration, in its desire to punish the crypto industry, pursued Mr. Zhao despite no allegations of fraud or identifiable victims,” Levitt said.
Levitt added that the Biden administration is seeking a three-year prison term for Zhao. She argued this far exceeded federal sentencing guidelines.
She argued that this approach tarnishes America’s image as a center of innovation and technological leadership, adding that the administration’s crackdown on the cryptocurrency sector has effectively ended.
In conclusion, President Trump’s pardon of Binance founder Qiao Changpeng has reignited the debate over who really controls the world’s largest cryptocurrency exchange. Yousef claims that Binance is subject to U.S. political and regulatory influence. Meanwhile, the White House claims its actions have ended the “war on cryptocurrencies.”
