U.S. President Donald Trump has granted a pardon to Changpeng Zhao, the founder of Binance, the world’s largest cryptocurrency exchange. Zhao had previously served time in prison for his failure to prevent criminals from using the platform for illicit activities related to child exploitation, drug trafficking, and terrorism.
Having strong connections to World Liberty Financial, a cryptocurrency venture initiated by the Republican president and his sons Eric and Donald Jr. in September, Zhao had sought Trump’s pardon. Trump’s latest financial disclosure report indicates earnings exceeding $57 million US last year from World Liberty Financial, which introduced USD1, a stablecoin tied to the U.S. dollar at a 1-to-1 ratio.
In a recent development, World Liberty Financial disclosed that a UAE investment fund would utilize $2 billion US worth of USD1 to acquire a stake in Binance. Zhao has publicly expressed his plea to Trump for a pardon to overturn his conviction.
White House press secretary Karoline Leavitt stated on Thursday that the Biden administration’s prosecution of Zhao aimed to penalize the cryptocurrency sector. Leavitt highlighted that there were no fraud allegations or identifiable victims, despite Zhao’s admission of guilt in November for failing to maintain an anti-money laundering program.
During his court appearance last year, Zhao acknowledged his failure, expressing deep regret and apologizing for his actions.
