[DigitalToday reporter Chi-gyu Hwang] Binance founder Changpeng Zhao (창펑 자오) brushed off controversy over his business relationship with U.S. President Donald Trump as “distorted”. In an interview with CNBC, he stressed that he had “no business relationship at all” with the Trump family.

CNBC reported that Changpeng Zhao denied allegations related to the Trump family’s crypto company, World Liberty Financial.

Zhao pleaded guilty in 2023 to aiding money laundering and served four months in prison before being released in September 2024. He drew attention again in October 2025 after receiving a pardon from President Trump.

The controversy centres on Abu Dhabi state-owned company MGX using USD1, a stablecoin issued by World Liberty Financial, when it invested $2 billion in Binance in March 2025. Changpeng Zhao said MGX chose USD1 and that Binance only wanted to receive payment in cryptocurrency. He said it was simply a means of payment.

The Wall Street Journal reported that Binance was also known to have been involved in developing USD1. Allegations were also raised that lobbyist Charles McDowell, a close associate of President Trump, lobbied for Changpeng Zhao’s pardon. Zhao countered that there was no deal related to the pardon and said he had never spoken directly with President Trump.

President Trump also said in a CBS interview, “I don’t know Zhao,” and claimed, “He was only a victim of the Biden administration.”