Crypto's Biggest Player Gets a Break

Changpeng Zhao, the founder of Binance, the world's largest cryptocurrency exchange, has been pardoned by former U.S. President Donald Trump. Zhao had been serving time for failing to prevent illegal activities on his platform, including child sex abuse, drug trafficking, and terrorism.

A Big Name in Crypto

Known as CZ in the crypto world, Zhao is a prominent figure in the industry. Both he and Binance have been strong supporters of some of Trump's family crypto projects. After his pardon, Zhao expressed gratitude on social media, calling it a win for fairness and innovation.

Prison Time and Admission of Guilt

Zhao spent four months in prison after admitting to helping money laundering on Binance. Trump justified the pardon by stating that many believed Zhao was not truly guilty and had been treated unfairly by the Biden administration.

Trump's Pattern of Pardoning Allies

This isn't the first time Trump has used his power to help friends and influential figures. The White House criticized the Biden administration for being too harsh on Zhao and the crypto industry, stating that Trump aimed to correct this unfair treatment.

Crypto Industry Under Scrutiny

The crypto world has faced strict regulations and enforcement under Biden. Trump's pardon aligns with his hands-off approach to the industry, with his administration dropping several cases against crypto companies that began under Biden.

Zhao's Legal Troubles

Zhao's issues stemmed from not following U.S. banking rules designed to prevent illegal activities. He even instructed employees to ask for forgiveness rather than permission, leading to millions of illegal trades on Binance, including transactions involving terrorist groups.

Apology and Rise to Success

In court, Zhao apologized, admitting his failures and regrets. His journey to becoming a crypto billionaire is remarkable—he grew up in rural China, moved to Canada, worked at McDonald's, and founded Binance in 2017.

Trump's Crypto Ventures

Trump and his family have also entered the crypto world, launching a stablecoin with help from an investment fund in the United Arab Emirates. After the pardon news, this stablecoin's value surged, outperforming other major cryptocurrencies.

Uncertain Future for Binance

It remains unclear how this pardon will impact Binance and its U.S. operations, but one thing is certain: Zhao's pardon is a major event in the crypto world.