Binance Founder CZ Confirms He Requested Trump Pardon After Money Laundering Conviction

CZ Seeks Presidential Pardon After Guilty Plea and Prison Term

Changpeng Zhao, the founder and former CEO of Binance, the world’s largest cryptocurrency exchange by volume, has confirmed that he has formally requested a presidential pardon from Donald Trump. The move, he said, came shortly after widespread reports emerged that he was seeking clemency for his 2023 conviction for violating U.S. anti-money laundering laws.

Zhao’s confirmation came during an episode of the Farokh Radio podcast, aired on May 6, 2025, where he candidly addressed the swirling rumors about his pardon request. Despite having publicly denied the reports earlier this year, Zhao now admits that his legal team has indeed filed the paperwork on his behalf, describing the pardon application as a strategic step.

“I wouldn’t mind a pardon,” Zhao said during the interview. “I got lawyers applying,” he added, noting that the process was initiated soon after Bloomberg and The Wall Street Journal reported in March that Zhao was quietly seeking a pardon amid alleged business talks involving the Trump family and Binance.US.

He explained his reasoning further: “If they’re writing this article, I may as well just officially apply.” Zhao also acknowledged that Donald Trump's decision to pardon the three BitMEX founders—including Arthur Hayes—played a role in his decision. That prior use of the presidential pardon power gave him hope that his case might receive similar consideration.

Background: A Landmark Case in Crypto Regulation

Zhao’s legal troubles date back to November 2023, when he entered a guilty plea to charges of failing to maintain an effective anti-money laundering program under the U.S. Bank Secrecy Act (BSA). The plea was part of a broader settlement between Binance and U.S. authorities, including the Department of Justice, Treasury Department, and Commodity Futures Trading Commission.

As a result of the deal, Binance agreed to pay a staggering $4.3 billion in fines, while Zhao personally agreed to pay $50 million and step down from his role as CEO of Binance. He was prohibited from holding any management or executive role within the exchange or its affiliates going forward. In April 2024, Zhao was sentenced to four months in federal prison, which he served earlier this year.

The conviction marked a significant moment in the ongoing regulatory crackdown on the crypto industry. It also made Zhao one of the most high-profile individuals ever jailed under the Bank Secrecy Act, a law designed to prevent financial institutions from being used to launder money or finance terrorism. Speaking about this during the podcast, Zhao claimed that he may be the only person in U.S. history to have served time solely for a BSA violation, though this assertion has not been independently confirmed.

What a Pardon Could Mean for Zhao and Binance

Under U.S. law, a presidential pardon does not overturn or expunge a conviction—it merely forgives the crime and restores certain rights. In Zhao’s case, a pardon could potentially clear the way for him to return to a leadership or advisory role within Binance.US, a possibility that is currently off-limits due to his criminal record.

According to legal analysts, such a move could prove controversial but not unprecedented. Trump’s pardoning of several financial criminals during his first term, including those involved in crypto-related offenses, sets a historical precedent. However, the political optics of pardoning a crypto billionaire may draw criticism, especially amid heightened scrutiny of Trump’s own ties to digital assets.

Changpeng Zhao (right) speaking with Farokh Sarmad (left). Source: Farokh Radio

At the time of the reports in March, Zhao had rejected the idea that he was actively pursuing a pardon, instead noting that “no felon would mind a pardon.” His latest comments suggest a change in strategy, likely influenced by evolving legal, political, and business considerations.

Zhao Maintains Distance from Binance CEO Role, Looks Abroad

Despite speculation that a pardon might signal Zhao’s desire to return to Binance in a leadership role, the former CEO insists that he has no plans to reassume control of the exchange. Speaking during Binance Blockchain Week in November 2024, Zhao said, “I feel the team is doing well and doesn’t need me back.”

Since completing his prison sentence, Zhao has turned his attention to international advisory work, particularly in emerging markets. He has taken on consultative roles with governments in Pakistan and Kyrgyzstan, where he is reportedly helping to develop national frameworks for crypto regulation, central bank digital currencies (CBDCs), and blockchain adoption in public infrastructure.

His continued influence in global crypto affairs, despite legal setbacks, underscores the enduring impact of his leadership and his strategic repositioning as a policy advisor rather than an executive.

Conclusion: A Redemption Arc or a Political Gamble?

Changpeng Zhao’s decision to seek a presidential pardon highlights the ongoing tension between regulatory accountability and political maneuvering in the crypto industry. While the request may be rooted in legal pragmatism, it also signals Zhao’s broader ambitions to remain a relevant and potentially influential figure in the blockchain world.

Whether Trump will respond favorably remains uncertain, especially given the legal and political complexities surrounding crypto regulation in the U.S. However, as Zhao steps further into a global advisory role and away from day-to-day business operations, his influence appears far from diminished—even as his legal legacy continues to unfold.