Trump Pardons Binance Founder Changpeng Zhao Amid Controversy

Washington, D.C. — President Donald Trump has granted a pardon to Changpeng Zhao, the billionaire founder of cryptocurrency exchange Binance, who previously pleaded guilty to money laundering charges. The White House confirmed the pardon on Thursday, with Press Secretary Karoline Leavitt stating that Zhao was a victim of political persecution by the Biden administration.

Zhao, who is originally from China but raised in Canada, pleaded guilty in November 2023 to charges related to failing to prevent money laundering during his tenure as CEO of Binance. As part of a broader settlement with the Justice Department, Zhao stepped down from his position and served four months in prison following his sentencing in April 2024. His company, Binance, was also barred from operating in the U.S.

During a press briefing, Leavitt stated, “President Trump exercised his constitutional authority by issuing a pardon for Mr. Zhao, who was prosecuted by the Biden Administration in their war on cryptocurrency. The administration sought to imprison Mr. Zhao for three years, which was an egregious overreach.”

In response to the pardon, Zhao expressed gratitude, stating he was thankful to Trump for what he called a commitment to fairness and innovation. Zhao’s net worth is approximately $86 billion, according to Forbes, and he has maintained ownership of most of Binance.

Critics of the pardon argue that it reflects a conflict of interest due to the Trump family’s connections to the cryptocurrency industry. Trump’s sons, Eric and Donald Jr., are involved in a crypto business, World Liberty Financial, which has interacted with Binance. Former Labor Secretary Robert Reich accused Trump of engaging in a “Pay-to-Pardon scheme.”

Trump, when questioned about the decision’s timing and Zhao’s business ties to his family, insisted he made the pardon based on claims of Zhao’s innocence from supporters, stating, “A lot of people say he wasn’t guilty of anything. I don’t know him. I don’t believe I’ve ever met him, but I was told what he did is not even a crime.”

The implications of the pardon for Binance’s future operations in the U.S. remain unclear, as the White House directed further questions to the Treasury and Commerce Departments. Zhao, who has been pivotal in the booming cryptocurrency market since founding Binance in 2017, has been previously linked to efforts aimed at revamping his exchange amid regulatory scrutiny.

The pardon of Changpeng Zhao represents yet another move by the Trump administration to favor the cryptocurrency sector, aligning with promises made during Trump’s campaign. Supporters of Zhao and Trump see this decision as a turning point for the cryptocurrency industry, potentially paving the way for Binance to resume operations in the U.S.