According to existing information, U.S. President Trump has officially pardoned Binance founder Zhao Changpeng (CZ). This decision marks a historic turning point in the relationship between the cryptocurrency industry and the regulatory and power centers in Washington.
1. 🏛️ Confirmation and procedure of the pardon
Fox business reporter Charles Gasparino first pointed out in October 2025 that the White House has conducted a substantial evaluation regarding the pardon of CZ, and Trump himself is inclined to approve this pardon. Subsequently, on October 11, market news confirmed that Trump considered pardoning former Binance CEO CZ during discussions at the White House. According to reports, after returning to the White House, Trump signed a large number of pardons or commutation orders, providing procedural background and possibility for CZ's pardon.
2. ⚖️ CZ's Legal Background and the Impact of the Pardon
Zhao Changpeng (CZ), as the founder of the world's largest cryptocurrency exchange Binance, pleaded guilty for Binance violating the Bank Secrecy Act and anti-money laundering regulations. As part of a settlement agreement, he resigned as CEO, paid a personal fine of $50 million, and served four months in prison. Although he has completed his sentence, the criminal conviction still imposes restrictions on his professional career, such as prohibiting him from participating in the management of Binance US (Binance.US). While a presidential pardon cannot completely erase the charges, it can restore some of his civil rights, clearing the way for CZ to return to the core operations of Binance.US. The U.S. Department of Justice has also indicated that a pardon may allow CZ to hold management positions at the Binance US subsidiary, although CZ himself has repeatedly expressed no intention to serve as CEO again.
3. 🔗 Political Background and Industry Games
The Trump administration has shown a friendly attitude and a tendency to loosen regulations towards the cryptocurrency industry. This pardon is seen as part of its systematic restructuring of the U.S. cryptocurrency regulatory framework. Previously, the U.S. Securities and Exchange Commission (SEC) had gradually dropped lawsuits against several leading cryptocurrency companies, and the three co-founders of BitMEX have also been pardoned. The political factors behind this policy shift are profound, as the cryptocurrency industry has raised substantial funds to support pro-crypto candidates through political action committees in the 2024 elections, and Trump's 'regulatory loosening' is viewed as a form of political payback. Meanwhile, reports have suggested that representatives of the Trump family have held negotiations regarding acquiring a stake in Binance US (Binance.US), intertwining the discussions of pardoning CZ with potential commercial interests and raising questions about the transactions between power and capital, although CZ himself has denied linking the pardon to business transactions.
4. 🌍 Impact and Outlook for the Industry
Trump's decision to pardon CZ is expected to have a profound impact on the cryptocurrency industry. For Binance, once CZ sheds his 'felon' status, it may assist in its global compliance process, such as lifting restrictions on applying for licenses in regions like the European Union, and Binance.US is also expected to enhance its market image and engage in more intense competition with rivals like Cb as a result of this incident. From a broader perspective, this event is a microcosm of the deep interaction between crypto capital and political power, reflecting the industry's complex adaptation to traditional power structures in its quest for mainstream recognition and legalization. However, this has also sparked widespread discussions about regulatory independence, judicial fairness, and the contradictions between the ideals of decentralization and the compromises of real-world politics.