Changpeng “CZ” Zhao could be freed from charges of having violated US banking laws
Reports from Washington suggest that President Donald Trump is considering granting a pardon to Binance co-founder Changpeng “CZ” Zhao, less than a year after the crypto executive served four months in prison for violating US banking laws. Sources cited by journalist Charles Gasparino claim that officials close to the administration view Zhao’s case as weak and disproportionate to the charges brought against him.
SCOOP: People close to @cz_binance, the former @binance chief who spent some time in the can amid the Biden Admin's crackdown on all things crypto, say discussions inside the White House are heating up on the possibility of a pardon from @realDonaldTrump. Many Trump insiders…
— Charles Gasparino (@CGasparino) October 10, 2025
Zhao, who pleaded guilty in 2024 to a single violation of the Bank Secrecy Act, was fined $50 million and barred from holding an executive role at Binance. The company itself paid a $4.3 billion settlement with US regulators, one of the largest in crypto history. Despite stepping away from leadership, Zhao remains Binance’s largest shareholder, and a potential pardon could clear the path for his return to a more active role.
Speaking on social media, Zhao thanked Gasparino for the coverage but said he had no confirmation of any deal. He clarified that he was not charged with fraud and described his case as unique, noting he may be the only person jailed in US history for a single BSA violation. Zhao has previously confirmed applying for a pardon earlier this year, but has received no official update.
Trump’s administration has shown increasing support for the cryptocurrency sector since returning to office. Regulators have scaled back enforcement actions and advanced proposals for clearer crypto rules. The White House has also issued pardons to figures like BitMEX founders and Silk Road creator Ross Ulbricht, signaling a shift in tone toward digital asset entrepreneurs.
Still, some advisers reportedly worry about the optics of pardoning Zhao, given Trump’s own business interests in crypto ventures, including his memecoin project. A final decision has yet to be made, though sources expect an announcement soon, keeping both the crypto industry and political observers on edge.
