Let's cut through the noise. Trump pardoning Changpeng Zhao (CZ), the Binance founder who pleaded guilty to enabling money laundering, raises a few eyebrows. Trump claims he doesn't know CZ, but the connections—however tangential—are there. CZ's companies have partnered with firms linked to Trump, including Dominari Holdings, where his sons sit on the board. Is this ignorance, a calculated move, or something in between?
The Money Trail, Faint as It May Be
The White House Press Secretary called CZ's prosecution a "war on cryptocurrency," claiming Trump was correcting an "overreach" by the Biden administration. That’s a convenient narrative, but it doesn't explain the previous crypto-related pardons. Trump previously halted a fraud case against Justin Sun after Sun invested in the Trump family's crypto firm, World Liberty Financial. Coincidence? Maybe. But coincidences tend to cluster when money's involved.
The fact that World Liberty Financial's stablecoin was slated for a $2 billion investment in Binance by an Abu Dhabi firm adds another layer. It's not a direct payment to Trump, but the ecosystem is intertwined. These aren't isolated incidents, and the pattern is emerging.
And here's the part of the report that I find genuinely puzzling: Trump's statement about needing to be a leader in crypto to avoid China gaining an advantage. It sounds almost…scripted. Is he suddenly a crypto advocate? Or is someone whispering talking points in his ear? It’s worth noting his previous administration halted a fraud case against crypto entrepreneur Justin Sun, after his investments in the Trump family's crypto firm, World Liberty Financial.
The November Effect and XRP's Potential
Meanwhile, outside the realm of pardons and political theater, the crypto ETF market is heating up. After shutdown delays in October, November could be the month we finally see some movement. Issuers are using a procedural route—filing updated S-1 registration statements with "no delaying amendment" language—to bypass the need for active SEC approval.
Four crypto ETFs (two from Canary Capital, one from Bitwise, and one from Grayscale) already started trading this week using this method. This success has sparked a wave of new filings, including Fidelity's spot Solana ETF and Canary Capital's XRP ETF. If the SEC stays hands-off, we could see the first XRP fund as soon as November 13.
However, there are limits. While the SEC has reviewed filings tied to Solana, HBAR, and Litecoin ETFs, they haven’t engaged much with the XRP application. This lack of engagement could prompt the agency to halt its automatic approval. James Seyffart, an ETF analyst at Bloomberg Intelligence, noted that some funds simply haven't received any feedback from the SEC on their S-1s (prospectuses), making their launch unlikely without the government reopening. Crypto ETFs: November Could Be the New October for U.S. After Shutdown Delays SEC Decisions
The question remains: will the SEC step in? Or will they allow the market to proceed by default? How likely is it that the SEC will continue to take a hands-off approach?
Follow the Tangential Connections
Trump's pardon of CZ, coupled with his administration's previous crypto dealings, paints a picture of someone either remarkably uninformed or strategically aligned with the crypto industry—or perhaps both. The lack of a direct, traceable payment doesn't negate the connections. It just makes them harder to quantify.
And as for the crypto ETFs, November's potential hinges on the SEC's willingness to remain silent. If they do, we could see a wave of new funds hitting the market. If not, it's back to waiting.
So, What's the Real Story?
Trump's "I don't know him" defense doesn't hold water. The connections are there, the money is there, and the timing is suspicious. It's either a calculated gamble or a profound lack of awareness, and neither option inspires confidence.
