Binance Founder Changpeng Zhao Denies DOJ Deal to Testify Against Justin Sun

Binance founder , better known as CZ, is back in the crypto spotlight—this time, at the center of a fresh controversy. A new Wall Street Journal report claims CZ agreed to provide evidence against Tron founder as part of his plea deal with the U.S. Department of Justice (DOJ). It’s a surprising twist, especially considering the close ties between the two crypto heavyweights.

While CZ hasn’t responded directly to the accusation, he’s already calling out the WSJ for what he describes as yet another “baseless” attack.

CZ Pushes Back on WSJ: No Basis Again?

On April 11, CZ posted on X, accusing the WSJ of targeting him once more “without any basis.” This is the latest chapter in a series of disputes between Zhao and the publication. Just last month, the WSJ reported that Binance was pursuing a partnership with a Trump-linked crypto venture and seeking a presidential pardon for CZ—claims he called “pure fabrication."

Now, with the DOJ reportedly involved, the tension has escalated. According to the WSJ, CZ allegedly agreed to give U.S. prosecutors information about Justin Sun, who is currently under investigation by the Securities and Exchange Commission (SEC).

Justin Sun Responds

Justin Sun didn’t stay silent. He called the claims against CZ “baseless” and stood by him publicly, referring to Zhao as both a mentor and a close friend. Sun also said that the Tron Foundation maintains clear and honest communication with the DOJ. He praised President Donald Trump’s approach to crypto and said he remains confident in the U.S. market.

Binance Eyes U.S. Comeback

This latest controversy comes at a time when Binance is trying to restore its standing in the United States. The company’s leadership, including current CEO Richard Teng, recently met with Treasury officials. Their goal: to reduce or remove the independent monitor that’s been overseeing Binance’s anti-money-laundering practices.

That monitor was part of a $4.3 billion settlement Binance agreed to in 2023, following a guilty plea for allowing illegal financial activity on its platform.

Reports also suggest Binance is getting closer to ventures linked to Donald Trump, particularly a stablecoin called USD1 issued by World Liberty Financial. The token is strongly supported by both Justin Sun and the Trump family. If Binance lists it, the coin could generate major profits - and possibly help pave the way for a presidential pardon for CZ under a new administration.

What’s Next for CZ and Binance?

As the U.S. shifts its crypto enforcement approach under Trump’s leadership—including a pause on DOJ monitorships—Binance seems to be positioning itself for a return to the American market. Even though CZ served a short prison sentence, he’s still a key figure in the company’s future.

While he denies any connection to World Liberty Financial, insiders believe that CZ’s long-time relationships in the crypto space could play a big role in Binance’s next moves.

With major players like Justin Sun, the Trump family, and U.S. regulators involved, the future of CZ—and Binance’s comeback in the U.S.—is still up in the air.