Binance’s Role in Creating and Promoting WLFI’s USD1 Stablecoin Faces Controversy Amid CZ’s Rebuttal

On July 12, a Bloomberg report revealed that Binance was instrumental in developing and marketing the USD1 stablecoin for WLFI, contributing significantly to its largest recorded transaction prior to CZ’s request for a pardon. The report, based on insights from three anonymous sources, highlights Binance’s involvement in the foundational coding and strategic promotion of the stablecoin. In a rebuttal, CZ publicly challenged the Bloomberg article, asserting that it was influenced by industry competitors and contained several inaccuracies. This exchange underscores ongoing tensions within the cryptocurrency ecosystem and the critical scrutiny faced by major players like Binance. Investors and market analysts should monitor these developments closely, as they may impact perceptions of regulatory compliance and operational transparency in the stablecoin sector.