Binance co-founder Changpeng Zhao has received a pardon from President Donald Trump after he went to jail for failing to safeguard the world’s largest crypto exchange against money laundering.
“President Trump exercised his constitutional authority by issuing a pardon for Mr. Zhao, who was prosecuted by the Biden administration in their war on cryptocurrency,” said White House spokeswoman Karoline Leavitt.
The move marks the latest act of clemency the White House has granted to a crypto entrepreneur, underscoring how the Trump administration has positioned itself as a friend of the industry.
Zhao served a four-month sentence in 2024 after pleading guilty to failing to implement adequate anti-money laundering measures at Binance. The guilty plea was part of a broader deal struck with the US government, which included a $4.3 billion settlement with Binance.
According to authorities at the time, the lack of safeguards under Zhao’s leadership allowed figures associated with the military wing of Hamas, hackers and money launderers to trade on the exchange. The lack of proper compliance also led to some customers trading with residents of Iran in contravention of US sanctions. Between 2018 and 2022, Binance processed at least 1.1 million transactions that violated U.S sanctions, worth about $898 million, according to the government’s case.
Zhao’s 2023 plea deal forced him to step down as Binance CEO but he was able to hold on to his controlling stake in the company, which soared in value immediately after Trump’s presidential victory. Zhao has a net worth of $54.5 billion, according to the Bloomberg Billionaires Index.
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