Trump Pardons Binance Founder CZ Over Money Laundering Charges; Sen. Warren Slams the Decision, Calling It ‘Corruption.’

White House press secretary Karoline Leavitt confirmed that President Donald Trump pardoned Changpeng Zhao, the co-founder of cryptocurrency exchange Binance, who was convicted of violating the United States’ anti-money-laundering laws.

Changpeng Zhao, known as ‘CZ,’ pleaded guilty to money laundering in 2023 under Joe Biden’s administration. He almost ended up serving four months in jail after he and Binance pleaded guilty to failing to comply with an efficient anti-money laundering program, leading to platform abuse for illegal activities.

Why Trump’s CZ Pardon Sparked Political and Crypto Reactions?

The mainstream media reported that CZ’s failure to maintain an efficient anti-money laundering program fueled money to flow to criminals associated with terrorism, cyber attacks, and child abuse. They also claim that the money flow reportedly aided human and drug traffickers. Democratic Senator Elizabeth Warren slammed Trump’s decision and strongly criticized it by putting the decision as an example of “political corruption.”

She tweeted on X that CZ had pleaded guilty to a criminal money laundering charge and had been sentenced to prison, but then he financed President Trump’s stablecoin and lobbied for a pardon, and that day he received it. She added that if Congress did not stop that kind of corruption, it owned it.

CZ pleaded guilty to a criminal money laundering charge and was sentenced to prison.

But then he financed President Trump’s stablecoin and lobbied for a pardon.

Today, he got it.

If Congress does not stop this kind of corruption, it owns it. pic.twitter.com/NsWeaJcVeK

— Elizabeth Warren (@SenWarren) October 23, 2025

Despite the ongoing criticisms over Donald Trump’s pardoning, White House press secretary Karoline Leavitt said that it had been an overly prosecuted case by the Biden administration and accused former President Biden’s administration of pursuing an “egregious over-sentencing of this individual.”

She also added that the president wanted to correct the overreach of the Biden administration’s injustice and that he had exercised his constitutional authority to do so. CZ’s pardon move from Donald Trump provoked his critics and strengthened their accusations that his interests in crypto are playing a pivotal role in White House decisions and actions. 

“Deeply Grateful for Today’s Pardon,” Says Changpeng Zhao 

Changpeng Zhao has acknowledged and expressed his gratitude to Donald Trump through his official X post.

Deeply grateful for today’s pardon and to President Trump for upholding America’s commitment to fairness, innovation, and justice.
🙏🙏🙏🙏

Will do everything we can to help make America the Capital of Crypto and advance web3 worldwide.

(Still in flight, more posts to come.)…

— CZ 🔶 BNB (@cz_binance) October 23, 2025

He said that by pardoning him, Donald Trump has upheld America’s commitment to fairness, innovation, and justice. He also claimed that he will do everything to help make America the capital of crypto and advance web3 worldwide.

CZ’s plea deal in 2023 is still marked as one of the largest enforcement actions in the history of the United States crypto sector. In 2023, he admitted that Binance cryptocurrency exchange, where he served as the co-founder, didn’t implement sufficient KYC and compliance procedures, preventing illicit transactions on the exchange.

CZ posted in 2023 after pleading guilty that he had stepped down as CEO of Binance that day (November 22), admitting that it had not been easy to let go emotionally, but he knew it was the right thing to do. He acknowledged that he had made mistakes and that he must take responsibility, stating that this was best for their community, for Binance, and for himself. 

Today, I stepped down as CEO of Binance. Admittedly, it was not easy to let go emotionally. But I know it is the right thing to do. I made mistakes, and I must take responsibility. This is best for our community, for Binance, and for myself.

Binance is no longer a baby. It is…

— CZ 🔶 BNB (@cz_binance) November 21, 2023

What CZ’s Pardon Means for Binance and the Crypto Industry

Binance spent more than one year pursuing a pardon for the former boss, who completed his four-month prison sentence in September 2024. The pardon, which was confirmed on Thursday, has eased the regulations put upon him and the restrictions that stopped him from running financial ventures. But, even with the pardon, it is still unclear whether he can lead Binance once again after a long two-year stint.

Prominent Journalist Isaac Saul described CZ as “comically corrupt” and claimed that the billionaire got a presidential pardon and was treated favorably just because he had helped Donald Trump boost the $TRUMP token. He stated his opinion on the surreal political climate in the United States right now, and he commented that this might have been a different level of scandal in any other administration. 

Donald Trump also faced criticism within the crypto community; entrepreneur Nick O’Neill stated that CZ at that point in time could get away with literally anything and that it was corruption, as far as he was concerned, at the highest level.

He expressed disbelief and mentioned that he was a huge supporter of the crypto industry, stating that it was absolutely critical to have a regulatory framework within the United States. He added that Trump was basically supporting all of his cronies and saying that they could do whatever they wanted as long as they helped him get rich.