Binance.US has rejected claims by U.S. Senator Chris Murphy that its recent listing of USD1, a stablecoin issued by Trump-linked World Liberty Financial (WLFI), is politically motivated.
The controversy erupted on Wednesday after Murphy alleged that the listing was “payback” for the U.S. President Donald Trump’s recent pardon of Binance Co-Founder Changpeng Zhao (CZ).
Murphy took to X post on Tuesday, claiming that Binance’s USD1 listing came just a week after Trump’s “stunning” pardon of Zhao, who had previously pleaded guilty to failing to implement an effective anti-money laundering program.
“One week after Trump pardoned Binance’s owner… Binance starts promoting Trump crypto,” Murphy wrote, accusing the exchange of favoring Trump’s political and financial interests.
The senator’s post quickly stirred debate across the crypto community, drawing attention to Trump’s growing involvement in the digital asset space through WLFI and his push to make the U.S. a global crypto hub.
Binance.US responds: ‘A business decision, nothing more’
In response, Binance.US denied any political motivation behind the listing. In a statement on X, the exchange clarified that both USD1 and WLFI tokens are already listed on over 20 U.S. exchanges, including Coinbase, Robinhood, and Kraken.
Binance.US added that its listing committee had approved the tokens “through the ordinary course of business” long before Trump’s pardon to Zhao.
“To be clear, this was a business decision on the part of Binance.US and nothing more,” the company stated. “It’s unfortunate that even routine business decisions are now unfairly politicized by our elected officials.”
Khanna pushes for crypto trading ban
Amid the uproar, U.S. Representative Ro Khanna (D-CA) announced plans to introduce a resolution aimed at banning the U.S. President, their family members, and members of Congress from trading cryptocurrencies or stocks.
The proposal follows growing backlash over Trump pardoning Zhao, which critics argue exposes deeper corruption and conflicts of interest in Washington.
Khanna said the resolution seeks to restore public trust and ensure that policymakers are not financially entangled in the industries they regulate.
Why this matters
USD1, which is pegged to the U.S dollar, is now the sixth-largest stablecoin in the world, with a market cap of approximately $2.97 billion, according to CoinGecko data.
Nevertheless, Trump still has connections with WLFI, which still raises ethical and political issues, and critics such as Rep. Maxine Waters claim that he is performing a massive favor to crypto criminals.
The discussion underscores the increasing conflict between politics and crypto regulation in the U.S. and particularly as Trump establishes himself as a pro-crypto candidate in the 2025 political cycle.
Also Read: Binance to Delist FLM, KDA, and PERP — How It Affects Users and Prices
