Trump Denies Knowing Binance Founder CZ After Pardon for Money Laundering
President Donald Trump issued a presidential pardon to Binance founder Changpeng Zhao (CZ) in October 2025, erasing his anti-money laundering conviction. However, Trump advised 60 Minutes he doesn’t know the billionaire crypto govt.
The controversial pardon ignited political backlash, as Democratic senators demanded a federal probe into attainable conflicts of curiosity tied to the Trump household’s crypto enterprise dealings.
Trump’s Pardon and Denial Spark Controversy
During a 60 Minutes interview at Mar-a-Lago, Trump defended his determination to pardon CZ. Although the federal conviction was erased, Trump denied any private connection to CZ and described the prosecution as a “Biden witch hunt.”
“I don’t know who he’s. I do know he obtained a four-month sentence or one thing like that. And I heard it was a Biden witch hunt,” TradFi media reported, citing Trump.
CZ’s 2023 conviction stemmed from Binance’s failure to implement anti-money-laundering controls that US prosecutors stated enabled terrorist teams to maneuver funds. He served a four-month jail sentence and paid a $50 million tremendous, whereas Binance paid a report $4.3 billion penalty.
The pardon restores CZ’s civil rights and US entry eligibility, although regulatory restrictions nonetheless stop him from holding management roles at Binance for a number of years.
When pressed about potential pay-for-play ties between the pardon and his household’s crypto ventures, Trump stated his sons “are within the crypto trade” however “they’re not authorities officers.”
World Liberty Financial, the Trump-linked agency whose stablecoin Binance helped facilitate, denied any involvement within the determination to grant clemency.
$2 Billion Binance Deal Raises Red Flags
The timing of CZ’s pardon has drawn scrutiny after stories revealed a $2 billion partnership between Binance and World Liberty Financial earlier this yr.
According to congressional investigators, Binance supported the launch of the agency’s USD1 stablecoin, attracting main Emirati funding weeks earlier than Trump’s pardon.
Lawmakers famous that Trump had not too long ago endorsed pro-stablecoin laws, elevating issues about potential conflicts of curiosity. A US House Committee report cited attainable irregularities in USD1’s reserves, overseas funding channels, and insider transactions involving Trump-affiliated entities.
Critics argue the pardon undermines accountability within the digital asset sector and sends “a harmful message that monetary crime may be excused by political affect.”
Lawmakers Demand Federal Probe
Seven Senate Democrats, led by Elizabeth Warren and Bernie Sanders, have called for a federal investigation into the pardon, alleging abuse of govt energy. Warren’s Senate Resolution 466 condemns the choice as “a menace to monetary integrity and public belief,” although Senate Republicans blocked it.
In response, CZ’s authorized staff threatened to sue Warren for defamation. Warren’s workplace defended her remarks, stating that they have been primarily based on DOJ findings and guarded by the First Amendment as political speech.
NoOnes CEO Ray Youssef advised BeInCrypto that Binance had grow to be “an instrument of US power” following its DOJ settlement.
“Binance is just not CCP, of us. CZ has aligned himself with Uncle Sam — and the Trump household. That’s who runs Binance now,” Youssef claimed.
He argued that US regulators successfully management the alternate by court-appointed screens, including, “That’s why you’re having KYC each two weeks. Uncle Sam runs Binance.”
Congressional committees are getting ready subpoenas associated to the pardon and the $2 billion Binance–Trump household deal.
The investigation may redefine how political affect intersects with crypto regulation, and decide whether or not Washington’s rising involvement in digital property has blurred the road between coverage and revenue.
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