Murphy Criticizes Binance.US’s USD1 Listing Post-CZ Pardon
Senator Chris Murphy accused Binance.US of politicizing its USD1 stablecoin listing by adding the Trump-linked token just days after former CEO Changpeng Zhao’s presidential pardon on October 23. He questions whether the pardon influenced the decision and calls the move political corruption. Binance.US defends its independent governance and due diligence, noting USD1 was pre-approved and listed on over 20 major platforms. The exchange insists its stablecoin listing followed routine legal reviews. Meanwhile, Senators Elizabeth Warren and Adam Schiff warn that a $2 billion investment in USD1 could channel up to $1 billion to the Trump family. With CZ considering a legal challenge and calls for stricter crypto oversight growing, traders should monitor regulatory developments, political risk and USD1’s market performance.
Neutral
This news introduces political risk around the USD1 stablecoin. In the short term, allegations of corruption and potential legal challenges may increase volatility and weigh on USD1’s price. However, Binance.US’s defense and USD1’s listing on multiple platforms provide support. Long-term, market reaction will hinge on regulatory and legislative actions, which could either reinforce stablecoin standards or impose stricter oversight. Overall, the net effect on USD1 is neutral, as positive listing momentum offsets political scrutiny.