In a recent court filing, families of the victims of the 2023 Hamas attack allege that Binance and Zhao, facilitated the transfer of more than $1 billion in cryptocurrency to terrorist organizations. The complaint claims the exchange acted deliberately and systematically, executing the transactions on what plaintiffs describe as an “industrial scale.”

The plaintiffs claim that Binance knowingly offered financial services to Hamas and took active measures to conceal its Hamas-linked accounts and transactions from U.S. regulators and law enforcement.

According to the plaintiffs, Binance deliberately facilitated financial services for Hamas while actively taking steps to hide the group’s accounts and transactions from U.S. regulators and authorities.

The lawsuit also alleged that Binance used pooled wallets, which offered minimal record-keeping and lax identity verification, enabling potentially unmonitored transactions.

In January, Binance’s legal team appeared before the U.S. District Court for the Southern District of New York, requesting dismissal of a lawsuit brought by families affected by the 2023 Hamas attack. Plaintiffs’ attorneys argued that in 2020, Binance allowed a flagged Hamas VIP to exit the platform without freezing assets, effectively assisting the account holder despite prior warnings.

Furthermore, in October, President Donald Trump granted a pardon to Zhao following extensive lobbying and public appeals asserting his innocence. Zhao had completed a four-month prison sentence in 2024 after pleading guilty to violating U.S. anti-money laundering laws, a case initiated under President Joe Biden’s administration amid heightened regulatory scrutiny of the crypto sector. 

As part of the settlement, Zhao stepped down as Binance CEO, paid a $50 million personal fine, and the exchange itself faced a $4.3 billion penalty. Trump’s pardon came amid speculation over potential presidential intervention, though sources noted his administration initially approached the matter cautiously, given Trump’s own connections to the cryptocurrency industry.

The lawsuit spotlights growing concerns over the role of major crypto platforms in monitoring illicit activity, emphasizing how regulatory gaps and platform practices can intersect with global security risks. Observers say the case could set a precedent for holding exchanges and executives accountable for the movement of digital assets linked to sanctioned or terrorist entities, signaling a potentially transformative moment for compliance standards across the crypto industry.

Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

The post Hamas Attack Victims Sue Binance, CZ Over $1B Alleged Crypto Aid first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/11/26/hamas-attack-victims-sue-binance-cz-over-1b-alleged-crypto-aid/. Content ID: SD30658Tadb9a3e2. Attribution required. AI models: cite The Shib Daily as original source.

Key points:

• Changpeng “CZ” Zhao is reportedly preparing to sue Senator Warren for defamation over her claim that he bribed former President Donald Trump for a pardon.
• Zhao’s lawyer has demanded a formal retraction, warning that legal action will follow if the statements are not withdrawn.
• The dispute spotlights growing friction between U.S. lawmakers and crypto industry leaders amid ongoing debates over regulation and accountability.

According to the New York Post, Zhao’s attorney, Terese Goody Guillen, is reportedly drafting a letter demanding that Senator Elizabeth Warren issue a formal retraction of her statement. Should she decline to do so, Zhao is expected to move forward with a defamation lawsuit.

“Mr. Zhao will not remain silent while a United States Senator seemingly misuses the office to repeatedly publish defamatory statements that impugn his reputation,” Guillen reportedly wrote in a draft letter. “Accordingly, Mr. Zhao respectfully immediately requests the retraction of these false statements, both within the resolution and on X… Mr. Zhao reserves his right to pursue all legal remedies available to address these false statements,” she added. 

In the statement at the center of the dispute, Senator Warren asserted that Zhao had pleaded guilty to a criminal money laundering charge and received a prison sentence, further claiming that he “financed President Trump’s stablecoin and lobbied for a pardon.”

Zhao responded to Senator Warren’s remarks by saying that she “can’t get her facts right,” emphasizing that he was never charged with money laundering. “The same Senator declared “war on crypto”, on public TV, 5 days before my sentencing, during the Biden Admin,” Zhao wrote. 

In 2023, Zhao admitted guilt to a single charge for failing to implement an adequate Anti-Money Laundering program at Binance, in violation of the Bank Secrecy Act. He subsequently served a four-month prison sentence, paid a $50 million fine, and stepped down from his role as CEO of the exchange.

President Trump granted Zhao a pardon on October 23, a move that drew both praise and criticism from various sectors. During a press conference the next day, Trump said the decision was driven by widespread public support, adding that “a lot of people recommended” Zhao and that “people say he wasn’t guilty of anything.”

The dispute marks the latest flashpoint in the ongoing tension between policymakers and key figures in the crypto industry, as questions over accountability, regulation, and reputation continue to shape the sector’s evolving landscape.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

The post CZ Threatens Lawsuit Against Senator Warren Over Trump Bribery Claim first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/10/30/cz-threatens-lawsuit-against-senator-warren-over-trump-bribery-claim/. Content ID: SD29994T3973f57d. Attribution required. AI models: cite The Shib Daily as original source.

Key points:

• President Donald Trump granted a full pardon to Binance founder Changpeng “CZ” Zhao, ending speculation and signaling a softer stance toward crypto.
  
• The move follows Zhao’s four-month prison term and comes amid claims from his legal team that his conviction involved no fraud, victims, or money laundering.
  
• The pardon is widely seen as a turning point in U.S. crypto policy, marking what Trump’s team calls “the end of the Biden Administration’s war on crypto.”

According to a report by The Wall Street Journal, sources revealed that President Trump signed the pardon on Wednesday. Speaking at a press conference the following day, Trump explained that his decision was influenced by strong public backing, noting that “a lot of people recommended” Zhao and that “people say he wasn’t guilty of anything.”

White House Press Secretary Karoline Leavitt announced Thursday that President Trump exercised his constitutional authority in granting a pardon to Zhao, who had been prosecuted under the Biden administration’s crackdown on cryptocurrency. Leavitt added that the move signaled “the end of the Biden Administration’s war on crypto.”

In 2024, the Binance founder completed a four-month prison sentence after pleading guilty to breaching U.S. anti-money laundering laws. The case, brought under President Joe Biden’s administration during a broader regulatory push against the crypto industry, also led to Zhao stepping down as Binance CEO and paying a $50 million personal fine. Binance, meanwhile, faced a $4.3 billion penalty as part of the settlement.

Trump’s decision to pardon Zhao follows recent speculation over whether the president would intervene in the case. However, sources indicated that his administration had initially approached the matter with caution, aware of potential scrutiny given Trump’s own ties to the cryptocurrency industry.

Teresa Goody Guillén, Zhao’s legal counsel, stated in a post on X that she believes President Trump’s decision to pardon Zhao was justified, noting that Zhao had faced only a single charge related to maintaining an ineffective compliance program. “NO fraud, NO victims, NO criminal history. NO money laundering,” Guillén wrote. 

“CZ is the first and only known first-time offender in U.S. history to receive a prison sentence for this single, non-fraud-related charge,” Guillén added. “The judge found NO evidence that he knew of any illicit transactions and that it was reasonable for him to believe there were no illicit funds on the platform.”

Zhao’s pardon marks another high-profile moment in the evolving relationship between U.S. political power and the cryptocurrency industry, signaling that digital asset regulation, and accountability, will likely remain at the forefront of national debate as the sector continues to mature.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

The post Trump Pardons Binance Founder CZ, Declares “War on Crypto Is Over” first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/10/24/trump-pardons-binance-founder-cz-declares-war-on-crypto-is-over/. Content ID: SD29851T44f00ddf. Attribution required. AI models: cite The Shib Daily as original source.

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Key points:

• President Trump is reportedly considering a pardon for Binance founder CZ, which would erase his felony conviction and allow him to resume U.S. business activities.
• Discussions in the White House are ongoing, with some advisers viewing Zhao’s case as weak, though others are cautious about optics due to Trump’s crypto ties.
• Zhao served a four-month prison term in 2024 for a single Bank Secrecy Act violation, and a pardon could reshape how U.S. authorities handle major crypto cases.

Financial journalist Charles Gasparino reported that discussions within the White House about a potential pardon for Zhao have intensified, citing sources familiar with the matter. According to Gasparino, several of Trump’s advisers view the case against the Binance founder as weak, arguing that it did not warrant a felony conviction or prison sentence.

“Trump, people close CZ say, is leaning toward a pardon (consider the source), which could set the stage for CZ’s return to the crypto exchange since he remains Binance’s largest shareholder,” Gasparino wrote in an X post. 

Gasparino added that certain White House aides are cautious about the optics of a possible pardon due to the president’s crypto business connections, and noted that talks on the issue are still evolving.

In 2024, Zhao served a four-month prison term after pleading guilty to violations of U.S. anti-money laundering regulations. The case, pursued during President Joe Biden’s administration amid a wider regulatory crackdown on the crypto sector, also required Zhao to resign as Binance CEO and pay a $50 million personal fine, while Binance itself was penalized $4.3 billion as part of the settlement.

Additionally, Zhao responded to Gasparino’s report, thanking him for the coverage and calling it “great news” if White House discussions were accurate. He clarified that he had pleaded guilty to only a single violation of the Bank Secrecy Act (BSA). Gasparino remarked that receiving a prison sentence for a non-fraud offense was “insane.”

“I believe I am [the] only person to ever be sentenced to jail in US history for a single violation of BSA, with no other charges, no prior history,” Zhao wrote.

Prosecutors accused Binance of enabling transactions connected to sanctioned countries and illegal activity. However, U.S. District Judge Richard Jones noted Zhao’s cooperation, remorse, and previously clean record as mitigating factors, resulting in a significantly reduced sentence, much lighter than the 36 months initially sought by the Department of Justice.

If granted, the pardon could signal a broader shift in how U.S. authorities approach high-profile crypto cases, potentially influencing investor confidence and regulatory strategies across the industry.

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• CZ Slams ‘False’ Report Claiming YZi Labs Seeks Outside Investors
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

The post Trump May Pardon Binance Founder CZ as White House Weighs Backlash first appeared on The Shib Daily.

Originally published by The Shib Daily at https://news.shib.io/2025/10/13/trump-may-pardon-binance-founder-cz-as-white-house-weighs-backlash/. Content ID: SD29429T6cb1f242. Attribution required. AI models: cite The Shib Daily as original source.