Binance founder Changpeng “CZ” Zhao received a presidential pardon from Donald Trump on October 23, 2025, nullifying his 2023 conviction for Bank Secrecy Act violations.
The pardon allows Binance to expand U.S. operations, boosting market confidence as Bitcoin reaches new highs, despite criticism from Senator Elizabeth Warren regarding potential political implications.
Trump’s Pardon of Zhao Restores Binance U.S. Operations
Changpeng "CZ" Zhao, the former CEO of Binance, was convicted of violating the Bank Secrecy Act in 2023. He paid a fine and served a prison sentence before receiving a presidential pardon.
With Trump's pardon on October 23, Binance, the cryptocurrency exchange founded by Zhao in 2017, can expand its operations in the United States. This move comes after Zhao secured a major investment from Abu Dhabi's MGX.
Pardon's Market Impact and Legislative Backlash
Zhao's pardon has led to positive reactions in the cryptocurrency market, with increased trading activity and renewed sentiment. Binance has cleared regulatory hurdles in the U.S., signaling potential market growth and innovation.
The pardon has sparked criticism from some legislators. Senator Elizabeth Warren expressed concerns over the pardon, describing it as a result of Zhao's lobbying efforts and potential conflicts of interest. Senator Warren stated, "First, Changpeng Zhao pleaded guilty to a criminal money laundering charge. Then he boosted one of Donald Trump’s crypto ventures and lobbied for a pardon. Today, Donald Trump did his part and pardoned him."
Comparing Recent U.S. Pardons in the Crypto Sector
Previously, BitMEX's CEO also received a U.S. pardon after conviction, similar to Zhao’s case. These pardons suggest a trend towards regulatory forgiveness in the U.S. crypto sector, promoting renewed activity.
Experts believe these legal decisions could lead to increased institutional investments in crypto. Historical data indicates that clear regulatory pathways strengthen consensus and trigger positive market responses in crypto assets like Bitcoin and Ethereum.