The growing tension between U.S. lawmakers and crypto industry leaders has intensified as Senator Elizabeth Warren’s legal team responded to Binance founder Changpeng Zhao (CZ)’s defamation threat. CZ had taken issue with a recent social media post by Senator Warren, where she highlighted concerns about Binance’s operations.
According to Warren’s attorneys, any defamation lawsuit threatened by CZ would be “without merit.” They argue that her comments were not personal attacks but rather reflections based on publicly available information. The post in question, they insist, simply echoed findings from regulatory investigations and legal filings involving Binance and CZ.
Public Record or Personal Attack?
Warren has been one of the most vocal critics of the crypto industry, frequently calling for stricter regulations and increased transparency. Her recent remarks about CZ fall in line with her consistent public stance. Her legal team emphasized that members of Congress are allowed — and even expected — to speak out on matters of public concern, especially when the issues involve financial regulation and consumer protection.
Zhao, who stepped down as CEO of Binance after a historic $4.3 billion settlement with U.S. regulators, appears increasingly concerned about how public narratives shape his reputation. However, Warren’s lawyers argue that citing facts already made available through court filings and government statements does not amount to defamation.
LATEST: Sen. Warren's lawyers responded to CZ's defamation threat, saying any claim would be "without merit", citing her post was based on public record. pic.twitter.com/XaLdQg5rnv
— Cointelegraph (@Cointelegraph) November 3, 2025
A Larger Battle Over Crypto Accountability
This episode highlights the deepening divide between policymakers and crypto entrepreneurs. Warren’s team views any legal threat as an attempt to silence legitimate political discourse, while CZ’s camp may see it as a fight to protect his public image.
With the 2024 election cycle already heating up, this dispute could be a preview of broader political clashes surrounding the crypto industry’s role in U.S. finance. As scrutiny intensifies, both sides are preparing for more public — and legal — showdowns.