WASHINGTON: US President Donald Trump has pardoned the convicted Binance co-founder Changpeng Zhao.
The White House announced the decision on Thursday.
It accused Trump’s predecessor Joe Biden of launching an unnecessary war against the cryptocurrency industry.
Binance was created in 2017 and swiftly became the world’s largest cryptocurrency exchange by volume.
This success turned Zhao into a billionaire.
Zhao pleaded guilty to violating US anti-money-laundering laws in late 2023 following an investigation.
He served a four-month prison sentence for this offence in 2024.
The pardon completely wipes Zhao’s criminal record.
This move could help pave the way for Binance to return to the United States.
The exchange agreed to suspend its American operations around two years ago to resolve a Department of Justice criminal investigation.
The White House statement shared with AFP criticised the previous administration’s actions.
It said the Biden Administration pursued Mr. Zhao despite no allegations of fraud or identifiable victims.
The statement added that the prosecution severely damaged the United States’ reputation as a global leader in technology and innovation.
It declared that the war on crypto is now over.
The Wall Street Journal reported that Binance spent almost a year pursuing a pardon for Zhao.
The report noted Binance has been a key supporter of the Trump family’s crypto venture World Liberty Financial.
Zhao remains the majority shareholder of Binance despite stepping down as chief executive in 2023.
A recent Financial Times investigation found the Trump family’s various crypto businesses netted them a pre-tax profit of around one billion dollars.
Trump’s pardon of Zhao follows other controversial moves.
He recently issued a blanket pardon for people convicted of violence in the January 6, 2021, attack on the US Capitol.
Trump has also commuted the sentence of disgraced former Republican lawmaker George Santos.
Santos was convicted of committing wire fraud and identity theft. – AFP
