US senators worry about Trump's Binance ties after $2B deal linked to his stablecoin.

Lawmakers question whether Trump is shaping crypto rules to benefit his own interests.

A new wave of trouble is rolling in for Binance as U.S. senators are now demanding answers from the DOJ about the exchange’s exit from the U.S., CZ’s pardon, and the USD1 plans.

It seems crypto is no longer just about money or tech, it’s now a big part of politics, too. A fresh storm is brewing in Washington as top U.S. senators are raising serious concerns over Donald Trump’s booming influence in crypto.

They are questioning his links with Binance, one of the biggest crypto exchanges in the world, and they want answers quickly.

Democratic lawmakers, including Senator Elizabeth Warren and Chris Van Hollen, have voiced their worries about President Donald Trump’s snowballing connection with the crypto sphere, particularly with Binance.

This comes after an investment firm from Abu Dhabi, MGX, plans to use a stablecoin called USD1, which is linked to Trump’s crypto venture, World Liberty Financial (WLFI), to invest $2 billion in Binance.

But it’s not just the money that has senators on edge. They are also interested in knowing how Trump and his allies might be impacting crypto policy behind the scenes.

And with Binance recently settling with U.S. regulators for a record-breaking $4.3 billion in fines, and its former CEO, CZ Zhao, stepping down to serve a 4-month prison sentence, along with a $50 million personal, the senators have a lot of questions.

They want to know about Binance’s complete withdrawal from the U.S., the status of CZ’s presidential pardon, and the involvement of the Justice Department and Treasury in the USD1 plans.

The senators have asked for a reply by May 21.

This stellar move comes after the U.S. encountered a snag in its attempt to pass new crypto rules. A vote on a stablecoin bill, known as the GENIUS Act, was stalled by Senator Elizabeth Warren.

In her request to the Treasury and Justice Department, Senator Warren highlighted her concerns.

She stated, “As the Senate prepares to advance legislation governing critical aspects of the digital asset industry, it’s crucial to understand the full scope of the administration’s efforts to mitigate risks in this domain.”

The senator expressed further worries, adding, “Unfortunately, despite repeated inquiries, there has been a lack of response from the administration. This lack of cooperation is concerning, especially given the urgency of the issues at hand and the significant impact they have on the American people.”

Senator Warren raised an alarm over what she sees as an unfolding corruption in plain sight.

It all started with a report by the Center for Responsive Politics highlighting a staggering $240 million contribution by crypto donors to candidates and political parties in the 2024 election cycle alone.

This incredible sum is already triple the total from the entire 2016 presidential campaign.

But there’s more. Senator Chris Van Hollen brought up another pressing issue. He pointed out that Binance is planning to exit the U.S. market at a time when the SEC is actively preparing a case against the exchange.

This has sparked speculation that the Biden administration might be attempting to close a “good deal” with Binance to avoid further scrutiny.

However, a spokesperson for the SEC stated that they have no plans to cease their investigation into Binance.

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