From prison to pardon? Why Trump may clear CZ’s record
This latest development has split the community.
Key takeaways
What’s happening with CZ and the possible Trump pardon?
Former Binance CEO Changpeng “CZ” Zhao could receive a presidential pardon from Donald Trump, potentially clearing his U.S. felony record and restoring his business rights.
How has the community reacted to the pardon rumors?
Reactions have been mixed to the development, with some calling it justice while others call foul.
U.S. President Donald Trump is reportedly mulling over a presidential pardon for Binance [BNB] founder Changpeng “CZ” Zhao.
This is a move that could restore the Chinese entrepreneur’s standing in the U.S. after serving time for anti-money laundering (AML) violations.
Community split as talk of a CZ pardon heats up
The rumor, first reported by journalist Charles Gasparino in an X (formerly Twitter) post, suggests that Trump is “leaning toward a pardon” that could clear CZ’s record and pave the way for his return to the industry.
CZ responded too, thanking Gasparino but correcting that “there were no fraud charges,” only a “single violation of the Banking Secrecy Act.”
In 2023, Changpeng Zhao admitted to failing to keep proper AML systems in place at Binance. The U.S. Department of Justice said the exchange let users make transactions that avoided sanctions and broke compliance rules.
As part of the deal, Zhao resigned as CEO, paid a $50 million fine, and spent four months in federal prison. Binance was also fined $4.3 billion, one of the biggest corporate penalties ever in the United States.
Reactions have been mixed to the whispers of this latest development. Some see it as overdue justice for what they call a “politically motivated” case.
Others are outraged, calling CZ a manipulator who deserves harsher punishment.
Another user even went as far as to ask if fallen FTX boss Sam Bankman Fried was “next in line.”
A clean slate could open doors, but not necessarily to Binance
If granted, a presidential pardon wouldn’t erase the past but would lift the legal weight of CZ’s conviction.
It would strike the felony from his record, restoring his eligibility to conduct business in the U.S. and clearing many background restrictions that still follow him.
Although CZ has completed his sentence, the conviction still restricts his access to banks, visas, and corporate boards.
A pardon could lift these barriers, potentially allowing him to reenter the financial world as an investor or advisor.
However, due to existing regulatory agreements, he is currently barred from holding any management position at Binance, making an official return to the exchange unlikely for now.
BNB cooled off after a fiery rally
After a 20-month BNB high of $1,355, the token has cooled, slipping over 6% to around $1,095 at press time.
Stochastic RSI remained in the overbought zone at 83.8, while MACD readings pointed to bullish momentum.
However, if selling pressure continues, BNB could retest the $1,000 support level, with the 50-EMA near $869 as the next key area to watch for traders.
