President Donald Trump has just wielded his constitutional power to pardon Changpeng Zhao, the founder of Binance, one of the world’s largest cryptocurrency exchanges.
As reported by NBC News, Trump signed the pardon on Wednesday, clearing Zhao of charges tied to enabling money laundering at Binance, for which he served a four-month prison sentence ending in September 2024.
This move, hailed by the White House as a correction of Biden administration overreach, comes amid Zhao’s guilty plea, a hefty $4 billion penalty on Binance, and a personal $50 million fine for Zhao himself.
White House press secretary Karoline Leavitt didn’t mince words, stating, "President Trump exercised his constitutional authority by issuing a pardon for Mr. Zhao, who was prosecuted by the Biden Administration in their war on cryptocurrency." Her point cuts to the heart of a broader frustration: a federal agenda that seems to target innovation under the guise of regulation.
Leavitt further noted, "These actions by the Biden Administration severely damaged the United States’ reputation as a global leader in technology and innovation." If America is to remain a hub for tech pioneers, such heavy-handed tactics must be reined in, not celebrated.
The pardon, announced on Wednesday, allows Zhao to potentially reclaim direct control of Binance, a company processing over $65 billion daily on average, per its own claims. This isn’t just a personal victory; it’s a signal to an industry under siege.
Trump’s alignment with the crypto sector during the 2024 election cycle is no secret, with his family’s ventures like World Liberty Financial generating over $4 billion, according to The Wall Street Journal. Binance, quietly administering a key exchange for World Liberty’s flagship coin, shows how intertwined these interests have become.
Adding to the optics, Binance hired lobbyist Charles McDowell in September, a close friend of Donald Trump Jr., who was recently photographed with him at the White House. McDowell’s firm, Checkmate Government Relations, received $450,000 for lobbying efforts, including on "executive relief," per public filings.
While World Liberty Financial denied any role in the clemency process, their statement applauded the "overall shift happening in D.C. right now." This pardon fits a pattern of Trump championing crypto, from hosting dinners for buyers of his meme coin to launching related products.
Zhao, ranked 31st on the Bloomberg Billionaires index with a fortune nearing $55 billion, expressed relief on X, writing, "Deeply grateful for today’s pardon and to President Trump for upholding America’s commitment to fairness, innovation, and justice." His words reflect a hope that this marks a turning point for crypto’s fraught relationship with federal oversight.
Binance echoed this sentiment, with a spokesperson stating, "We thank President Trump for his leadership and for his commitment to make the U.S. the crypto capital of the world." Such rhetoric suggests an industry eager to pivot from past penalties to future promise under a friendlier administration.
The company’s blog post at the time of the plea deal admitted it "takes responsibility for this past chapter." Yet, with this pardon, that chapter seems firmly closed, or at least rewritten.
Thursday’s White House briefing saw Leavitt defending the decision, asserting, "This was an overly prosecuted case by the Biden administration." Her defense aligns with a growing narrative that regulatory zeal has outpaced reason in targeting crypto entrepreneurs.
This pardon joins a string of high-profile clemencies by Trump, including reality stars Todd and Julie Chrisley, former Illinois governor Rod Blagojevich, and even former congressman George Santos. Earlier in March, three BitMEX co-founders also received pardons, signaling a consistent push to unshackle crypto figures from legal burdens.
Democratic senators like Warren, Durbin, and Blumenthal had raised alarms in May about potential conflicts, citing billions in penalties and presidential family business interests. Their concerns, while valid to some, may struggle to gain traction in a political climate increasingly skeptical of overbearing federal power.
