"Binance Founder CZ Zhao Seeks Trump Pardon for Money Laundering"

Binance Founder CZ Zhao Seeks Pardon for Money Laundering Conviction

The founder of Binance, Changpeng Zhao, commonly known as CZ, has recently revealed that he has applied for a pardon from US President Donald Trump. This request comes after Zhao previously denied reports of seeking a pardon but later decided to officially pursue it through his lawyers.

In a podcast episode on Farokh Radio, Zhao mentioned that he "wouldn't mind" receiving a pardon and confirmed that his legal team has already initiated the process on his behalf. This move followed speculations triggered by articles from Bloomberg and The Wall Street Journal in March, suggesting that Zhao was seeking a pardon in connection with discussions between the Trump family and Binance.US for a potential business deal.

Despite initially refuting these claims, Zhao felt compelled to submit the pardon application in response to the media coverage. He also mentioned that witnessing Trump pardon three founders of BitMEX, including Arthur Hayes, influenced his decision to seek similar legal relief.

The application for the pardon was officially submitted around two weeks prior to this revelation by Zhao.

Zhao's Legal Troubles and Past Conviction

Changpeng Zhao's history with the law stems from a money laundering charge he pled guilty to in November 2023. This offense was part of a larger legal settlement between Binance, the crypto exchange he founded, and US authorities. As a result of this settlement, Binance had to pay a substantial fine of $4.3 billion, with Zhao contributing $50 million towards this sum.

Following his guilty plea, Zhao was sentenced to a four-month prison term and was obliged to step down from his role as CEO of Binance. He took responsibility for his actions and acknowledged that he was the only individual in the US to serve jail time due to a Bank Secrecy Act violation.

Despite the potential implications of a presidential pardon, Zhao's money laundering conviction would not be expunged. However, such a pardon could open up opportunities for him to resume managerial or operational roles within Binance.US.

Zhao's Future Plans and Advisory Roles

Although still a shareholder at Binance, Zhao has expressed no inclination to reassume the position of CEO at the company. During Binance Blockchain Week in November, he stated that the current team is performing well and does not require his direct involvement.

Since serving his prison sentence, Zhao has taken on advisory positions in countries like Pakistan and Kyrgyzstan. In these roles, he provides guidance on crypto-related regulatory matters and the implementation of blockchain solutions in these regions.

Despite his legal challenges and past convictions, Zhao remains actively engaged in the cryptocurrency industry and continues to contribute his expertise in various advisory capacities globally.