Exposed: CZ and Justin Sun Deny WSJ Claims of Testimony Allegiance
Binance Head, CZ, Disputes Wall Street Journal's Claim of Him Testifying Against Justin Sun in Potential DOJ Arrangement
A whirlwind of denials and accusations erupted between Changpeng "CZ" Zhao and Justin Sun in response to a Wall Street Journal (WSJ) report suggesting Zhao agreed to testify against Sun as part of a plea deal with the US Department of Justice (DOJ). Here's the spill-by-spill take on this explosive claim.
The Dueling Denials
- Zhao's Response:
- Characterized the WSJ report as a "smear campaign," hinting at financial incentives: "I heard someone paid WSJ employees to smear me."
- Asserted that cooperating witnesses typically avoid prison, positioning his four-month sentence as evidence that no deal was struck.
- Sun's Counter:
- Stated that he had no knowledge of the speculation, praising Zhao as a "mentor and close friend" who aided his journey.
- Emphasized communication with both Zhao and the DOJ as open and honest.
The Legal Twist
- Plea Bargain Finesse:
- Zhao argued that cooperating witnesses are not typically prosecuted, arguing that his conviction contradicts the existence of any deal. This oversimplifies the plea-bargain process, as witnesses can still face repercussions based on the evidence at hand.
- Timing Conundrum:
- The report emerged as Binance executives were in negotiations with US Treasury officials for relaxed compliance oversight, fueling suspicions about strategic leaks.
The Lack of Empirical Proof
- Invisible Informants:
- The WSJ's reliance on anonymous sources and the absence of corroborating legal documents leave the narrative vulnerable to conjecture.
The Test of Time
The controversy remains juicy with no smoking gun, as both sides' denials and the WSJ's enigmatic sourcing keep the cat-and-mouse game in play.
[1] ari_paul. (2023). CZ plead guilty to anti-money laundering [Tweet]. Twitter.[2] ZeroHedge. (April 12, 2023). Changpeng Zhao Denies The Wall Street Journal Report He Agreed To Testify Against Justin Sun In His Plea Deal. ZeroHedge.[3] Telegram. (April 11, 2023). Justin Sun on X (Telegram App) statement (responding to WSJ report).[4] Coindesk.com. (April 11, 2023). Binance's CZ denies Wall Street Journal report of plea deal testimony vs. Justin Sun. Coindesk.[5] Coindesk.com. (2023). CZ, Zhao sentenced to four months in prison for anti-money laundering violations. Coindesk.
- The National Stock Exchange (NSE) has seen a surge in discussions revolving around cryptocurrency, with the latest controversy surrounding Changpeng "CZ" Zhao and Justin Sun.
- The Wall Street Journal (WSJ) report indicating Zhao's testimony allegiance has been denied, with Zhao suggesting potential financial incentives for WSJ employees in the cryptocurrency finance and technology general-news sectors.
- Justin Sun, in response to the report, has stated his support for Zhao as a mentor and close friend, while maintaining open and honest communications with both Zhao and the Department of Justice.
- Zhao, when questioned about cooperating in the plea bargain process, argues that his conviction contradicts such an agreement, overlooking the fact that witnesses can still face repercussions based on the evidence provided.
- The timing of the WSJ report, amid Binance executives' negotiations with US Treasury officials, has fueled suspicions of strategic leaks, raising concerns within the crime-and-justice community.
- The lack of empirical proof in the WSJ report, relying on anonymous sources and the absence of corroborating legal documents, leaves the narrative open to conjecture and speculation, keeping the controversy alive in the cryptocurrency business world.
