Senator Elizabeth Warren has formally pushed back against a threatened defamation claim from Changpeng “CZ” Zhao’s legal team, saying any lawsuit would be without merit.
The exchange centers on a social media post Warren made on Oct. 23 and the lawyers’ competing accounts of what her post meant and whether it repeats information already in public records.
Warren’s Lawyer Pushes Back
According to a letter filed by Warren’s attorney, Ben Stafford, the senator relied on public DOJ materials and court records when she commented about the matter.
Stafford wrote that a defamation suit would lack legal basis and that public statements from the US Department of Justice were the source for key factual points.
Reports have disclosed that Stafford’s response stressed First Amendment protections for commentary about public figures.
Warren’s Post And Sources
Based on reports, Warren’s post referenced language that appeared in DOJ disclosures from 2023 and related filings. Those public documents were cited by multiple outlets that obtained the letters exchanged between the parties.
The story has been reported by mainstream and crypto-focused newsrooms, and the primary letters — one demanding a retraction and the other replying — were highlighted as central evidence in the dispute.
CZ pleaded guilty to a criminal money laundering charge and was sentenced to prison.
But then he financed President Trump’s stablecoin and lobbied for a pardon.
Today, he got it.
If Congress does not stop this kind of corruption, it owns it. pic.twitter.com/NsWeaJcVeK
— Elizabeth Warren (@SenWarren) October 23, 2025
CZ’s Legal Demand And The Timeline
CZ’s legal demand was sent by Teresa Goody Guillén, who is identified in coverage as counsel for Zhao, co-founder and former CEO of Binance.
The demand requested a retraction of Warren’s Oct. 23 post and threatened litigation if the post were not removed. CZ publicly said he might sue unless the post was taken down.
On Lawsuits & Pardons
In November 2023, Zhao admitted guilt for not keeping Binance’s Anti-Money Laundering program up to standard, violating the Bank Secrecy Act, and was later sentenced to four months in prison by a Seattle court in April 2024.
Warren later fueled controversy with a post on X claiming Zhao had financed US President Donald Trump’s stablecoin project and sought a pardon, a statement that reignited public debate over Trump’s connection to Binance and his family’s crypto startup, World Liberty Financial.
Legal Hurdles For A Defamation Suit
According to legal commentators quoted in reporting, defamation claims against public figures face a high bar under US law because plaintiffs must show “actual malice” — that a false statement was made knowingly or with reckless disregard for the truth.
That standard was raised in classic Supreme Court rulings and was referenced repeatedly in the coverage as a reason why some lawyers view a suit here as a long shot.
Featured image from Vocal Media, chart from TradingView
