Trump Pardons Binance Founder Despite Family Crypto Business

President Donald Trump issued a full pardon to Changpeng Zhao, founder of the world's largest cryptocurrency exchange Binance, who had pleaded guilty to violating federal anti-money laundering laws and served four months in prison. The pardon comes amid concerns about conflicts of interest, as Zhao's company has business ties to the Trump family's cryptocurrency ventures.

On October 23, 2025, President Trump pardoned Changpeng Zhao (known as "CZ"), the billionaire founder and former CEO of Binance, the world's largest cryptocurrency exchange. Zhao had pleaded guilty in November 2023 to violating the Bank Secrecy Act by failing to maintain effective anti-money laundering programs at his company. Under his plea agreement, Zhao stepped down as CEO, paid a $50 million personal fine, and served four months in federal prison, while Binance agreed to pay $4.3 billion in corporate penalties—one of the largest in U.S. history.

The case against Zhao and Binance involved allowing over $900 million in transactions that violated U.S. sanctions, including money flows to terrorist organizations like Hamas and al-Qaeda, as well as facilitating transactions connected to child abuse, drug trafficking, and cybercrime. Prosecutors noted that Zhao told employees it was "better to ask for forgiveness than permission" regarding U.S. law compliance, prioritizing rapid growth over legal requirements. Federal prosecutors had sought a three-year sentence, but the judge sentenced Zhao to only four months, finding the prosecution's request excessive.

The pardon raises significant conflict of interest concerns due to business connections between Binance and the Trump family's cryptocurrency venture, World Liberty Financial. Binance assisted in creating code for a Trump family stablecoin that facilitated a $2 billion UAE investment deal, potentially generating millions annually for the Trump family. Trump claimed during a CBS "60 Minutes" interview that he didn't know Zhao personally and characterized the prosecution as a "Biden witch hunt," though he acknowledged being told Zhao had "a lot of support" and was recommended by "very good people."