{"id":409573,"date":"2025-10-29T23:52:32","date_gmt":"2025-10-29T18:22:32","guid":{"rendered":"https:\/\/dripp.zone\/news\/cz-weighing-lawsuit-against-us-senator-over-money-laundering-claim-report-crypto-news\/"},"modified":"2025-10-30T00:06:05","modified_gmt":"2025-10-29T18:36:05","slug":"cz-weighing-lawsuit-against-us-senator-over-money-laundering-claim-report-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/cz-weighing-lawsuit-against-us-senator-over-money-laundering-claim-report-crypto-news\/","title":{"rendered":"CZ Weighing Lawsuit Against US Senator over Money Laundering Claim: Report – Crypto News"},"content":{"rendered":"

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Former Binance CEO Changpeng \u201cCZ\u201d Zhao is reportedly considering filing a libel suit against Massachusetts Senator Elizabeth Warren over claims related to him allegedly bribing US President Donald Trump for a pardon.<\/p>\n

According to a Tuesday New York Post report, Zhao\u2019s lawyer, Teresa Goody Guill\u00e9n, a partner at Baker & Hostetler, said<\/a> the former Binance CEO plans to file a lawsuit unless Warren retracts claims she made in an Oct. 23 X post following his presidential pardon.\u00a0<\/p>\n

The social media post, which now includes context from readers, claimed<\/a> CZ \u201cpleaded guilty to a criminal money laundering charge,\u201d leading to his four-month prison sentence in 2024. Zhao pleaded guilty to one charge<\/a> related to his failure to maintain an effective Anti-Money Laundering program at Binance in November 2023 \u2014 a violation of the Bank Secrecy Act.<\/p>\n

The X post at the center of the potential lawsuit. Source: <\/em>Sen. Elizabeth Warren<\/em><\/a><\/figcaption><\/figure>\n

\u201cMr. Zhao will not remain silent while a United States Senator seemingly misuses the office to repeatedly publish defamatory statements that impugn his reputation,\u201d Goody Guill\u00e9n said, according to The Post. \u201cAccordingly, Mr. Zhao respectfully immediately requests the retraction of these false statements, both within the resolution and on X\u2026 Mr. Zhao reserves his right to pursue all legal remedies available to address these false statements.\u201d\u00a0<\/p>\n

Trump\u2019s pardon of CZ<\/a> on Oct. 23 shocked many in the crypto industry and in Congress, where some claimed the president<\/a> had acted in response to an Abu Dhabi-based investment company investing $2 billion into Binance<\/a> using the USD1 stablecoin issued by World Liberty Financial \u2014 the crypto company tied to Trump\u2019s family. <\/p>\n

Warren\u2019s tweet also claimed that Zhao \u201cfinanced President Trump\u2019s stablecoin,\u201d calling the move \u201ccorruption.\u201d CZ responded<\/a> online by claiming \u201cthere were NO money laundering changes [sic]\u201d and Warren \u201ccan\u2019t get her facts right.\u201d<\/p>\n

Related: <\/strong><\/em>Trump\u2019s crypto pardons raise ethics and corruption concerns<\/strong><\/em><\/a><\/p>\n

Cointelegraph reached out to Warren\u2019s office, Binance and Goody Guill\u00e9n for comments on the potential lawsuit but had not received responses at the time of publication. Warren had not issued any public statement through social media on the potential lawsuit, and her X post was still live at the time of publication.<\/p>\n

Not CZ\u2019s first rodeo in defamation lawsuits<\/h2>\n

In July, CZ threatened to file<\/a> a lawsuit against Bloomberg over a report that claimed Binance developed the original smart contract code for the USD1 stablecoin. The report included claims that Zhao had applied for a presidential pardon after the $2-billion deal tied to USD1 and Binance.<\/p>\n