President Donald Trump has pardoned Binance founder Changpeng Zhao, the White House said. Zhao pleaded guilty to federal money laundering charges in 2023 and he was sentenced last year to four months in prison. He was released in September 2024.
As part of his plea deal, Zhao stepped down as CEO of Binance and he was banned from having any involvement with the company for three years. Both Zhao and Binance reportedly submitted formal applications for pardons by August this year.
Trump “exercised his constitutional authority by issuing a pardon for Mr. Zhao, who was prosecuted by the Biden Administration in their war on cryptocurrency,” White House press secretary Karoline Leavitt said in a statement. “The Biden Administration’s war on crypto is over.”
The Wall Street Journal notes that the pardon could pave the way for Binance to start doing business in the US again. The company was barred from operating there after pleading guilty to violating money laundering laws in 2023. Binance officials are said to have met with Treasury Department representatives this year in an attempt to reduce US oversight of the company.
Binance is involved with the Trump family’s World Liberty Financial cryptocurrency business — a venture that has padded the president’s pockets. For one thing, it bolstered the growth of USD1, a World Liberty cryptocurrency that’s pegged to the dollar. Binance received a $2 billion investment this spring and that was paid in USD1. According to CNBC, World Liberty has generated around $4.5 billion since last year’s presidential election.
FTX founder Sam Bankman-Fried has also reportedly been angling for a Trump pardon. Bankman-Fried was sentenced to 25 years in prison in 2024 after being found guilty of fraud and conspiracy to commit money laundering.
Crypto billionaire Justin Sun said last November that he’d invested $30 million into World Liberty (a figure that later rose to $75 million). In February, the Securities and Exchange Commission dropped a case against Sun. The agency had charged him in 2023 with alleged violations of securities laws.
