Former Binance CEO Changpeng “CZ” Zhao — who spent four months in prison for breaching U.S. Anti-Money Laundering laws — secured a presidential pardon after an intense campaign by Binance’s legal and political teams to reshape his public image and rebuild bridges in Washington.
The Machinery Behind the Move
Sources familiar with the matter told Politico that Binance had been quietly ramping up its outreach efforts for months, enlisting well-connected lobbyists with direct ties to Trump’s inner circle. Among them was Ches McDowell, a North Carolina strategist known for his long-standing relationship with Donald Trump Jr.
McDowell’s firm, Checkmate Government Relations, was brought on board in late September under a contract worth nearly half a million dollars — for just four weeks of lobbying focused on “executive relief.” That brief but expensive engagement coincided with a period of increased communication between Binance’s representatives and senior officials at the Treasury Department.
At the same time, Binance and Zhao sought legal legitimacy through high-profile counsel. They turned to Teresa Goody Guillén, a seasoned crypto attorney once floated for the SEC’s top job under Trump. Her firm has earned close to $300,000 this year for advising the company and its founder on federal compliance and political strategy.
These efforts mark a renewed push after Binance largely withdrew from lobbying following its 2023 plea agreement with the U.S. Department of Justice. Under the current administration, however, the exchange has aggressively rebuilt its Washington presence, spending over $860,000 this year alone and forging connections with Trump-linked ventures, including the newly launched World Liberty Financial initiative.
A Divided Washington Reacts
The pardon has ignited fierce debate across Capitol Hill. Representative Maxine Waters, one of the most vocal critics of the move, accused the president of using executive power to “reward crypto offenders.” She pointed to months of lobbying and alleged financial ties between Binance and pro-Trump entities as evidence of political favoritism.
“This was not about justice — it was about influence,” Waters said in a statement, calling the decision “an appalling gesture that undermines accountability.”
The White House, however, offered a very different narrative. Trump defended his decision by arguing that Zhao had been unfairly targeted by the previous administration, telling reporters that “what he did is not even a crime.”
Beyond One Man’s Pardon
For the crypto industry, Zhao’s release has become a symbolic turning point. Supporters see it as proof that the current administration intends to embrace digital assets as part of its broader economic agenda. Critics, meanwhile, warn that such political leniency could erode the credibility of U.S. regulatory enforcement.
The pardon also underscores the growing influence of cryptocurrency money in American politics. What began as a niche sector has evolved into a powerful lobbying force capable of shaping national discourse — and, in this case, influencing one of the most controversial presidential decisions of the year.
Whether viewed as a victory for crypto advocacy or a cautionary tale of political power, Zhao’s pardon reveals how deeply intertwined digital finance has become with Washington’s political machinery — and how the future of regulation may now hinge as much on relationships as on the rulebook.