US President Donald Trump has granted a full pardon to Binance co-founder Changpeng “CZ” Zhao, erasing his criminal record and marking a major shift in the US government’s stance toward the cryptocurrency industry.
The White House confirmed the decision on Thursday, accusing Trump’s predecessor, Joe Biden, of waging an unnecessary “war” against crypto firms.
“In their desire to punish the cryptocurrency industry, the Biden administration pursued Mr. Zhao despite no allegations of fraud or identifiable victims,” the White House said in a statement. “The war on crypto is now over.”
Zhao, who founded Binance in 2017 and built it into the world’s largest cryptocurrency exchange, pleaded guilty in 2023 to violating US anti-money-laundering laws and served four months in prison the following year.
The pardon could pave the way for Binance’s return to the US after it suspended its operations as part of a deal to settle the Justice Department’s criminal probe.
According to the Wall Street Journal, Binance had spent almost a year seeking a pardon for Zhao, and the company has been a “key supporter” of the Trump family’s crypto venture, World Liberty Financial.
Democrats swiftly condemned the move. Massachusetts Senator Elizabeth Warren wrote on X, “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,” she added.
Since returning to the White House, Trump has embraced cryptocurrency after previously criticizing it, easing regulations and winning strong financial backing from the sector. His reelection campaign reportedly received over $100 million in crypto-related contributions.
The Financial Times recently reported that the Trump family’s crypto ventures generated nearly $1 billion in pre-tax profits over the past year.
Zhao’s pardon follows other controversial Trump clemency decisions, including pardons for individuals convicted of violence during the January 6 Capitol riot and a commuted sentence for former Republican lawmaker George Santos, convicted of wire fraud and identity theft.
What you should know
Changpeng “CZ” Zhao, once a global crypto titan, founded Binance in 2017 and turned it into a trading powerhouse before facing legal troubles under the Biden administration.
His pardon by President Trump signifies a political and economic realignment in US crypto policy, potentially reopening Binance’s access to American markets.
The decision underscores Trump’s growing alliance with the crypto sector and his effort to position the United States as a hub for digital finance innovation — a sharp contrast to the previous administration’s stricter regulatory stance.
