President Donald Trump has officially pardoned Changpeng “CZ” Zhao, the founder and former CEO of Binance. This decision has instantly reignited global debate over crypto regulation and political influence in the financial system.
The pardon, confirmed by White House Press Secretary Karoline Leavitt, marks a dramatic turn for one of the most prominent figures in digital finance. Zhao had previously served a four-month prison sentence in 2024 after pleading guilty to failing to maintain an effective anti-money laundering (AML) program at Binance. This charge also led the company to pay a $4.3 billion penalty in a settlement with U.S. authorities.
BREAKING: President Trump has pardoned convicted Binance Founder Changpeng Zhao (CZ).
Welcome back @cz_binance. pic.twitter.com/QVHsRS696K
— The Kobeissi Letter (@KobeissiLetter) October 23, 2025
“War on Cryptocurrency” – Trump Administration’s Justification
In a written statement, the White House described Zhao’s prosecution under the Biden administration as part of a broader “war on cryptocurrency and innovation.” Leavitt emphasized that President Trump viewed the case as “excessive and politically motivated.” She added that the pardon was intended to “restore fairness and recognize the importance of responsible digital innovation to the American economy.”
The statement framed the pardon as both symbolic and strategic. It positions the Trump administration as a defender of crypto entrepreneurs and blockchain innovation during a period when the industry continues to face regulatory uncertainty.
A Polarizing Figure in Crypto’s Global Rise
Changpeng Zhao, a billionaire entrepreneur, was one of the most influential figures in the crypto ecosystem. He built Binance into the world’s largest cryptocurrency exchange before stepping down as CEO in late 2023. His guilty plea had marked a significant moment in the U.S. government’s crackdown on offshore crypto operations. It also cemented Binance’s role in global AML reform efforts.
Although Zhao has maintained a low profile since completing his sentence, insiders report that he has continued to maintain close ties with the company’s leadership and several digital asset ventures. The pardon effectively clears his criminal record, allowing him to resume work in the crypto sector without legal restrictions. This development could potentially reshape industry leadership once again.