Trump Denies Familiarity with Binance’s Zhao Despite Pardon

US President Donald Trump has publicly stated that he does not know Changpeng Zhao, the billionaire founder of Binance, despite having granted him a presidential pardon last month. This denial arises in the context of Zhao’s previous legal troubles, including a guilty plea in March 2023 for enabling money laundering, which led to his resignation as Binance’s chief executive.

When asked about the rationale behind the pardon, Trump responded, “Okay, are you ready? I don’t know who he is,” further emphasizing that he had “no idea who he is” and did not recall ever meeting Zhao. The president mentioned that he had been informed that Zhao was a victim of a “witch hunt” orchestrated by the administration of former President Joe Biden.

Zhao, often referred to as “CZ,” served four months in prison as part of a plea deal with US prosecutors. Since his release, his companies have engaged in partnerships with firms associated with Trump, particularly in the cryptocurrency sector. This includes a partnership with Dominari Holdings, where Trump’s sons are members of the board of advisers.

Trump has consistently expressed his support for innovation in cryptocurrency, asserting that the United States must maintain its leadership in this field to avoid falling behind competitors like China. The presidential pardon he issued removes restrictions that previously prohibited Zhao from running financial ventures. However, it remains uncertain whether this action impacts Zhao’s regulatory status or his role at Binance, which is recognized as the world’s largest cryptocurrency exchange.

White House Press Secretary Karoline Leavitt defended the decision to pardon Zhao, asserting that his prosecution was part of a broader “war on cryptocurrency” implemented by the Biden administration. “This was an overly prosecuted case,” she stated. “The president wants to correct this overreach and exercised his constitutional authority to do so.”

Trump’s administration has previously faced criticism for its leniency toward cryptocurrency executives. Notably, it halted a fraud case against Justin Sun, a significant investor in the Trump family’s cryptocurrency business, World Liberty Financial. Additionally, Trump has pardoned the founders of BitMEX and Ross Ulbricht, the creator of Silk Road, a notorious dark web marketplace known for facilitating illegal drug trade.

As the cryptocurrency landscape evolves, the implications of such pardons and the administration’s stance on digital currencies continue to generate discussion and scrutiny among industry experts and political analysts alike.