Trump Administration Considers Pardon for Binance Founder CZ
The U.S. administration under former President Donald Trump is reportedly considering a presidential pardon for Changpeng Zhao. Zhao, also known as CZ, is the co-founder and former CEO of Binance, a major cryptocurrency exchange.
In 2024, Zhao pleaded guilty to money laundering. He was sentenced to four months in prison and fined $50 million. Zhao also resigned as Binance’s CEO and stepped down from all executive roles. However, he remains Binance’s largest shareholder.
Details of CZ’s Guilty Plea and Sentence
The U.S. Department of Justice found Binance, under Zhao’s leadership, had weak Anti-Money Laundering (AML) and Know Your Customer (KYC) controls. In November 2023, Zhao admitted to violating U.S. AML laws. Binance paid $4.3 billion in fines as part of the settlement.
Zhao served his four-month prison sentence and was released in April 2024. Afterward, he launched a nonprofit educational app called Giggle Academy. He also invests in biotech and artificial intelligence projects.
Potential Impact of the Pardon
Charles Gasparino, a New York Post columnist, reported that Trump insiders view the case against Zhao as weak. They believe the felony charge and jail time were unnecessary. Discussions about a pardon have increased, raising the possibility of Zhao returning to Binance.
Zhao responded to the pardon talks, saying it would be “great news if true.” He emphasized that his conviction was for one violation of the Banking Secrecy Act, not fraud.
The Trump administration has previously shown leniency toward the crypto industry. It allowed founders of BitMEX and Silk Road creator Ross Ulbricht to avoid prison sentences.
