In a recent development, Fox Business correspondent Charles Gasparino reported that Donald Trump may be weighing a presidential pardon for Changpeng Zhao (CZ), the former CEO and founder of Binance.
According to Gasparino’s post on X, people close to CZ said discussions inside the White House regarding a presidential pardon for Zhao have “heated up” in recent days.
He added that several Trump insiders believe the Department of Justice (DOJ)’s case against CZ was weak and did not merit a felony conviction or jail sentence.“…Trump, people close [to] CZ say, is leaning toward a pardon, which could set the stage for CZ’s return to the crypto exchange since he remains Binance’s largest shareholder,” Gasparino wrote.
Noting that “the situation is obviously fluid,” he added that some in the White House are worried about the optics of such a pardon, given Trump’s business interests in crypto.
Notably, Trump is affiliated with a few crypto projects, including the TRUMP memecoin and World Liberty Financial (WLFI).
Gasparino further said a decision on the matter could come in soon or could drag on longer than expected, citing other pressing matters on Trump’s table, like ongoing foreign policy challenges, like tensions in Gaza, Ukraine, and recent tariff issues with China.
CZ Responds: “There Were No Fraud Charges”
CZ responded directly to Gasparino’s post to clarify the record, noting that he had no fraud charges but pleaded to a single violation. “There were no ‘fraud’ charges”, CZ wrote. He added: “I pleaded to a single violation of the Banking Secrecy Act (BSA). The DOJ under the last administration looked very hard for it, but didn’t find any.”
His response points out that no fraud-related offences were brought against him, a detail many in the crypto industry believe is important to highlight, especially as the conversation around a Trump pardon gains traction.
Background of the Binance Case and CZ’s Conviction
In November 2023, CZ stepped down as Binance CEO after reaching a plea agreement with the U.S. DOJ. The company admitted to violating the Bank Secrecy Act (BSA) and failing to maintain proper anti–money laundering controls.
As part of the settlement, Binance agreed to pay over $4.3 billion in penalties, one of the largest fines in U.S. corporate history. CZ himself pleaded guilty to a single count of violating the BSA and was later sentenced to four months in prison, a notably lighter sentence than prosecutors had sought.
The DOJ alleged that Binance allowed bad actors to use its platform for money laundering, sanctions evasion, and other illicit activities, although no direct fraud charges were filed against CZ personally. Despite stepping down as CEO, he remains Binance’s largest shareholder.
What a Trump Pardon for CZ Could Mean for Crypto
If President Trump decides to pardon CZ, it could mark a major policy shift from the Biden administration’s strict regulatory stance on crypto.
Under Biden, several enforcement actions were taken against crypto firms, including Binance, Coinbase, Uniswap Labs and Kraken, as regulators sought to tighten oversight of the industry.
A Trump pardon could be seen as a signal that the U.S. may adopt a more open and innovation-friendly approach toward digital assets. It could also allow CZ to return to a leadership role at Binance.
Additionally, many crypto advocates view it as a potential turning point, one that could restore balance between regulation and innovation in the industry.
CZ’s Legacy at Binance
Founded in 2017, Binance has grown into the world’s largest crypto exchange, processing billions of dollars in daily trading volume. Under CZ’s leadership, Binance introduced innovative products like BNB Smart Chain (BSC), Binance Earn, and Binance Launchpad, which helped drive global adoption of crypto.
However, the company’s rapid growth also brought regulatory scrutiny. From the U.S. to the U.K., Russia, Nigeria and India, Binance faced challenges related to compliance and licensing.
After CZ’s departure, the company doubled down on regulatory reform and compliance efforts, strengthening its global operations under new leadership. The world’s largest crypto exchange by trading volume remains a dominant force in the crypto industry with Binance Coin (BNB) leading the latest crypto bull market.
