CaryptosHeadlines Media Has Launched Its Native Token CHT.
Airdrop Is Live For Everyone, Claim Instant 5000 CHT Tokens Worth Of $50 USDT.
Join the Airdrop at the official website,
CryptosHeadlinesToken.com
Binance founder Changpeng “CZ” Zhao has denied accusations that he provided testimony against TRON founder Justin Sun as part of a plea deal with the U.S. Department of Justice (DOJ). CZ addressed these allegations through a series of posts on X.
On April 13, CZ stated that he did not testify against Sun. He argued that had he come forward and provided the information warranted by authorities on the court, he would have faced different sentencing.
“Testifying against someone would have reduced my sentence. That didn’t happen,” CZ responded by explaining that he has a custodial sentence that logically indicates that he has not been cooperating in such manner.
Clarification on Legal Charges and Sentencing
CZ Binance provided further details on his side of the legal matter. He stressed that he was convicted of AML offenses only, rather than of money laundering or embezzlement. He said that the public does not clearly understand the difference between these terms and as a result there is misunderstanding on the issue.
The charges referred to the lack of robust measures against money laundering at Binance, which regulators thought provided viability for illicit operations. CZ addressed this as being due to inefficiency through negligence rather than policymaking and conducting of criminal activities.
His sentence encompassed a prison term which is rare in plea bargains involving cooperation in the form of testifying. This, he said, refutes his assertion that he did not testify against any person – let alone Sun.
Concurrently, CZ dismissed the claims, posting,
“WSJ is really TRYING here. They seem to have forgotten who went to prison and who didn’t. People who become gov witnesses don’t go to prison. They are protected.”
He also alleged, “I heard someone paid WSJ employees to smear me.”
Justin Sun Denies DOJ Targeting and Reinforces Relationship With Binance’s CZ
In response to such allegations, Justin Sun dismissed them, stating that they never entered into a cooperation deal with CZ. Sun also claimed that, although the two are not personally close anymore, they had a good working relationship which included mentorship and friendship.
He also referred to X, saying,
“They always try to use rumors to drive us apart, to divide us instead of unite us. Crypto is already a small space—only by standing together can we change everything!”
TRON Foundation also shared the same opinions and it stated that it is operating within the legal framework and interacts with the legal bodies when necessary. It stated that it works transparent and in accordance to the legal requirements in various jurisdictions.
Sun is currently facing a different civil lawsuit by the US Securities Exchange Commission (SEC) filed in March 2023. The SEC alleges that Sun and several of his affiliated firms have been involved in offering securities without proper registration and engaging in the practice of wash trading using the TRX tokens.
The issue was largely brought to light after several media outlets and commentators labeled CZ as willing to cooperate with the US authorities in any case against Sun. These reports are based on unidentified sources and have not yet been substantiated by the Department of Justice.
Another post by the user @DeFiMidas on X echoed these statements and read as follows: “CZ flipped… the DOJ has what they need to lock him up.”
Such rumors have spread across the internet regarding the future of TRON, TRX token, and platforms related to Sun like Poloniex and HTX.
Both CZ and Sun have denied these statements and responded quickly to public discussions, aiming to minimize confusion in the market. CZ has consistently repeated that he avoids involvement in matters outside of blockchain education and adoption. “I only focus on two topics: blockchain adoption and education,” he said.
Ongoing Legal Developments and Outlook Around Justin Sun
The DOJ has not issued a public statement confirming any cooperation between Binance founder CZ and authorities regarding Sun.
Meanwhile, court records show that the SEC and Sun are currently exploring a settlement in the ongoing civil fraud case. A stay in the legal proceedings has been approved to allow both parties to negotiate a resolution.
Despite legal issues, CZ continues to be active in promoting crypto adoption worldwide. He has recently been appointed as a Strategic Advisor to Pakistan’s Crypto Council. He also signed an agreement with Kyrgyzstan’s National Investment Agency to advance Web3 adoption in the country.
