TLDR
- US President Donald Trump pardoned Binance founder Changpeng ‘CZ’ Zhao on Thursday, October 23, 2025, after he pleaded guilty to money laundering violations in 2023
- Polymarket betting odds for CZ returning to Binance by December 31 jumped to 82% following the pardon news but later stabilized around 36%
- Zhao was sentenced to four months in prison for violating the US Bank Secrecy Act by failing to maintain an effective anti-money laundering program at Binance
- The White House stated CZ was prosecuted by the Biden Administration with no allegations of fraud or identifiable victims
- As part of his 2023 plea deal, Binance paid over $4 billion in forfeiture and CZ paid $50 million in fines, with CZ forced to step down as CEO
US President Donald Trump pardoned Binance founder Changpeng ‘CZ’ Zhao on Thursday. The pardon followed Zhao’s 2023 guilty plea to money laundering violations at the crypto exchange.
Trump signed the pardon on Wednesday. Binance confirmed the presidential order to reporters on Thursday.
At a Thursday news conference, Trump said he pardoned Zhao after receiving recommendations from many people. The president said supporters told him Zhao wasn’t guilty of anything.
“I don’t know him, I don’t believe I’ve ever met him, but I’ve been told he had a lot of support, and they said that what he did is not even a crime, it wasn’t a crime, he was persecuted by the Biden Administration,” Trump stated. The president emphasized that many people lobbied for the pardon.
Deeply grateful for today’s pardon and to President Trump for upholding America’s commitment to fairness, innovation, and justice.
🙏🙏🙏🙏Will do everything we can to help make America the Capital of Crypto and advance web3 worldwide.
(Still in flight, more posts to come.)…
— CZ 🔶 BNB (@cz_binance) October 23, 2025
White House press secretary Karoline Leavitt released a statement about the decision. She said Trump exercised his constitutional authority in pardoning Zhao.
“In their desire to punish the cryptocurrency industry, the Biden Administration pursued Mr. Zhao despite no allegations of fraud or identifiable victims,” Leavitt said. The statement characterized the prosecution as part of a war on cryptocurrency.
Polymarket Betting Activity Spikes After Pardon
Polymarket users began placing bets on Zhao’s potential return to Binance following the pardon announcement. A poll on the platform asked if CZ would return to Binance by December 31.
Odds jumped to 82% on Friday morning. This marked a 68% increase from earlier that day when odds stood at just 14%.
The betting odds later stabilized throughout Friday evening. The poll showed Zhao’s chances of returning to Binance holding around 36%.
Zhao took to X on Thursday morning to respond to the pardon. He thanked supporters for their congratulatory messages.
“Deeply grateful for today’s pardon and to President Trump for upholding America’s commitment to fairness, innovation, and justice,” Zhao wrote. He stated he would do everything possible to help make America the capital of crypto.
Zhao also announced plans to release a book soon. He did not provide details about the book’s specific content or release date.
Details of Original Case and Plea Deal
Zhao pleaded guilty in 2023 to one count of violating the US Bank Secrecy Act. The charge related to failing to maintain an effective anti-money laundering program at Binance.
He received a four-month prison sentence for the violation. Zhao was the first and only known first-time offender in US history to receive prison time for this single charge.
As part of the resolution, Binance agreed to pay over $4 billion in forfeiture. Zhao was ordered to pay $50 million in fines personally.
The plea deal required Zhao to step down as CEO of Binance. It also prohibited him from working at the exchange going forward.
Crypto attorney Teresa Goody Guillén defended the pardon on Thursday. She said her client faced a single charge of failure to have an effective compliance program.
“NO fraud, NO victims, NO criminal history. NO money laundering,” Guillén wrote on social media. She emphasized that the judge found no evidence Zhao knew of any illicit transactions.
The pardon could potentially allow Zhao to rejoin Binance. His previous plea deal restrictions may no longer apply following the presidential pardon.
