On Thursday, former President Donald Trump granted a pardon to Changpeng Zhao, the founder of Binance, the world’s largest cryptocurrency exchange. The White House issued a statement indicating that the pardon was part of Trump’s constitutional authority and suggested a shift in the administration’s approach to cryptocurrency regulation, implying that a “war on crypto” had ended.
Zhao had previously pleaded guilty in late 2023 to charges related to not maintaining an anti-money laundering program. Following the plea, he stepped down as CEO of Binance, which subsequently agreed to pay $4.3 billion to settle related allegations. Zhao was sentenced to four months in prison, and Binance has faced limitations on its operations within the United States since that time.
Trump’s pardon is seen as a significant development for Zhao and Binance, particularly after extensive speculation and lobbying. Representatives from Binance, including Zhao, have expressed gratitude for the pardon, with statements recognizing the potential for the U.S. to become a leading hub for cryptocurrency.
Reports surfaced earlier this year suggesting that Trump’s family business was in discussions with Binance about acquiring a stake in its U.S. operations. Zhao, however, has denied any negotiations regarding such a deal, emphasizing that he had not discussed a partnership with anyone.
The relationship between Binance and the Trump family’s cryptocurrency enterprise has implications beyond the pardon. A transaction involving Binance and an Emirati investment fund was carried out using a cryptocurrency developed by Trump’s World Liberty Financial, highlighting the ongoing interplay between the two entities.
Democratic senators, including Elizabeth Warren, have raised concerns about potential collusion between Binance and the Trump administration, criticizing the easing of regulatory oversight in an industry already marked by compliance issues. The U.S. Justice Department previously accused Binance of failing to report a significant number of suspicious transactions, raising questions about the company’s adherence to legal standards.
Source: https://www.theguardian.com/technology/2025/oct/23/binance-trump-pardon-changpeng-zhao