Binance Considers Cutting CZ’s Stake in Push to Reenter U.S. Market: Report

Binance, the world’s largest cryptocurrency exchange by trading volume, is considering a strategic reshuffling that could significantly reshape its ownership structure as it seeks to strengthen its footprint in the United States. 

The discussions, which remain at an early and fluid stage, could see co-founder Changpeng “CZ” Zhao reduce his controlling stake in the company — a move viewed internally as a potential pathway back into key U.S. markets.

According to a Bloomberg report citing people familiar with the matter, Zhao’s majority ownership has been a “major hurdle” to Binance expanding into strategically important U.S. states, where regulators closely scrutinize governance, control, and compliance. 

While no firm plans have been announced, the conversations show how central the U.S. market remains to the exchange’s long-term ambitions.

Exploring U.S. Partnerships to Strengthen Footprint

Alongside possible ownership changes, Binance is reportedly exploring partnerships with U.S.-based firms to bolster its position in the country. Potential partners mentioned include global asset manager BlackRock and decentralized finance platform World Liberty Financial (WLFI), a project linked to U.S. President Donald Trump.

Such partnerships could offer the exchange a way to align more closely with established U.S. institutions and regulatory expectations, while also signaling a renewed commitment to operating within the country’s legal framework. 

Also read: Wall Street Fuels Crypto Investment Boom: Binance, Polymarket, Circle Lead $25B Surge

Trump Pardon Fuels Return Speculation

Speculation about Binance’s possible return to the U.S. accelerated in October after Trump issued a presidential pardon to Zhao. The move quickly became a flashpoint in both the crypto industry and U.S. politics, with executives and commentators suggesting the pardon could ease some of the barriers that have kept the exchange largely sidelined from the American market.

Zhao appeared to reinforce that narrative in a social media post following the pardon, stating that he would “do everything we can to help make America the capital of crypto and advance Web3 worldwide.” 

The comments were widely interpreted as a signal that the exchange was once again open to deeper engagement with the U.S. market after years of regulatory friction.

Binance’s Exit and the Creation of Binance.US

Binance’s relationship with the United States has been strained since June 2019, when the exchange announced it would stop serving U.S. customers directly. 

In its place, a separate entity, Binance.US, was launched and operated by BAM Trading Services to provide a more limited, regulatory-compliant platform for American users.

Unlike the global exchange, Binance.US does not offer crypto derivatives, does not share global liquidity, and operates as a standalone exchange. 

The separation was designed to address regulatory concerns, but it has not fully shielded the company from scrutiny.

Regulatory Pressure and SEC Allegations

In 2023, the U.S. Securities and Exchange Commission alleged that Binance Holdings Ltd. effectively operated both Binance.com and BAM Trading Services, calling into question the independence of Binance.US. Those allegations added to the exchange’s regulatory challenges in the U.S. and further complicated any efforts to expand its presence in the country.

Despite those setbacks, the U.S. remains a critical market for crypto exchanges. According to Chainalysis’ 2025 Global Crypto Adoption Index, the United States ranks second globally for crypto adoption. 

For Binance, reentering the U.S. in a meaningful way could unlock access to one of the deepest pools of capital in the digital asset industry.

Political Backlash Clouds Path Forward

The exchange’s potential return to the U.S. is not without political risk. Trump’s pardon of Zhao drew sharp criticism from several Democratic lawmakers, including Massachusetts Senator Elizabeth Warren and California Congresswoman Maxine Waters.

Waters described the pardon as “pay-to-play,” accusing Trump of doing political favors for the crypto industry that “helped line his pockets.” Warren, one of Congress’s most vocal critics of crypto, went further, characterizing the pardon as “corruption” and warning that it undermined accountability in the digital asset sector.