Donald Trump pardons Binance founder Changpeng Zhao after money-laundering conviction
Zhao had pleaded guilty in November 2023 in federal court in Seattle to violating the Bank Secrecy Act by failing to implement an effective anti-money-laundering program and by wilfully violating US sanctions.
- Oct 23, 2025,
- Updated Oct 23, 2025 10:24 PM IST
President Donald Trump has pardoned Binance founder Changpeng “CZ” Zhao, who had pleaded guilty to enabling money laundering during his tenure as head of the world’s largest cryptocurrency exchange, the White House announced Thursday.
The decision marks a dramatic turn in one of the most high-profile cryptocurrency prosecutions in US history and signals a sharp break from the Biden administration’s aggressive regulatory stance toward the crypto industry.
White House Press Secretary Karoline Leavitt said in a statement that the president “exercised his constitutional authority” to pardon Zhao, describing him as a casualty of what she called “the Biden Administration’s war on cryptocurrency.”
“In their desire to punish the cryptocurrency industry, the Biden Administration pursued Zhao despite no allegations of fraud or identifiable victims,” Leavitt said.
The pardon comes just two months after a The Wall Street Journal report, which claimed that the Trump family’s crypto venture, which has reportedly generated about $4.5 billion since the 2024 election, was aided by “a partnership with an under-the-radar trading platform quietly administered by Binance.”
Zhao had pleaded guilty in November 2023 in federal court in Seattle to violating the Bank Secrecy Act by failing to implement an effective anti-money-laundering program and by willfully violating US sanctions. Binance itself paid $4.3 billion in a settlement with the Department of Justice, one of the largest corporate penalties in US history.
Federal prosecutors had sought a three-year sentence for Zhao — far above the sentencing guidelines — but he was sentenced in April 2024 to four months in prison. The judge overseeing the case noted that the prosecution’s recommendation was “extraordinary” and “unprecedented.”
Leavitt cited that judicial comment in defending the pardon, arguing that the Biden administration’s actions had “severely damaged the United States’ reputation as a global leader in technology and innovation.”
“The Biden Administration’s war on crypto is over,” she said.
The pardon also follows Trump’s recent commutation of former Rep. George Santos’s 87-month prison sentence for wire fraud and aggravated identity theft — another controversial move underscoring the former president’s readiness to intervene in high-profile legal cases.
Zhao, who had stepped down as Binance CEO as part of his plea agreement, has since remained an influential figure in the global crypto community. His pardon could bolster efforts by the Trump administration to reset relations with the digital asset industry, which has been a growing source of political and financial power.
President Donald Trump has pardoned Binance founder Changpeng “CZ” Zhao, who had pleaded guilty to enabling money laundering during his tenure as head of the world’s largest cryptocurrency exchange, the White House announced Thursday.
The decision marks a dramatic turn in one of the most high-profile cryptocurrency prosecutions in US history and signals a sharp break from the Biden administration’s aggressive regulatory stance toward the crypto industry.
White House Press Secretary Karoline Leavitt said in a statement that the president “exercised his constitutional authority” to pardon Zhao, describing him as a casualty of what she called “the Biden Administration’s war on cryptocurrency.”
“In their desire to punish the cryptocurrency industry, the Biden Administration pursued Zhao despite no allegations of fraud or identifiable victims,” Leavitt said.
The pardon comes just two months after a The Wall Street Journal report, which claimed that the Trump family’s crypto venture, which has reportedly generated about $4.5 billion since the 2024 election, was aided by “a partnership with an under-the-radar trading platform quietly administered by Binance.”
Zhao had pleaded guilty in November 2023 in federal court in Seattle to violating the Bank Secrecy Act by failing to implement an effective anti-money-laundering program and by willfully violating US sanctions. Binance itself paid $4.3 billion in a settlement with the Department of Justice, one of the largest corporate penalties in US history.
Federal prosecutors had sought a three-year sentence for Zhao — far above the sentencing guidelines — but he was sentenced in April 2024 to four months in prison. The judge overseeing the case noted that the prosecution’s recommendation was “extraordinary” and “unprecedented.”
Leavitt cited that judicial comment in defending the pardon, arguing that the Biden administration’s actions had “severely damaged the United States’ reputation as a global leader in technology and innovation.”
“The Biden Administration’s war on crypto is over,” she said.
The pardon also follows Trump’s recent commutation of former Rep. George Santos’s 87-month prison sentence for wire fraud and aggravated identity theft — another controversial move underscoring the former president’s readiness to intervene in high-profile legal cases.
Zhao, who had stepped down as Binance CEO as part of his plea agreement, has since remained an influential figure in the global crypto community. His pardon could bolster efforts by the Trump administration to reset relations with the digital asset industry, which has been a growing source of political and financial power.