Binance Founder CZ Addresses Delicate Question of $4.3B Fine Following Trump Pardon
Changpeng Zhao (CZ), founder of Binance, addressed whether the crypto exchange might seek a refund of the $4.3 billion settlement following his recent pardon by former President Donald Trump. He described the question as delicate and stated that no refund has been formally requested. Zhao added that if a refund is issued, it would be invested in America as a gesture of appreciation.
Despite stepping down from Binance's executive ranks as part of the settlement and thus no longer speaking on behalf of the firm, Zhao spoke publicly on the matter. The Binance settlement involved the exchange agreeing to forfeit $2.5 billion and pay a $1.8 billion criminal fine, with Zhao personally paying $50 million. Zhao pleaded guilty in November 2023 to failing to maintain an effective anti-money laundering program, which allowed illicit funds to flow through the exchange. He was sentenced to four months and served time in Lompoc, California.
Trump pardoned Zhao last month, effectively ending the legal consequences stemming from the guilty plea. The pardon drew mixed reactions, with Trump defending the decision while Democrats criticized it. Earlier in May, Zhao told Decrypt in an exclusive interview that reports suggesting he offered Binance.US equity in exchange for clemency were false.
Additionally, the report notes a $2 billion investment in Binance from Abu Dhabi’s MGX in June, settled in USD1. Senators Elizabeth Warren and Jeff Merkley have requested the preservation of records relating to this investment, connecting it to Trump's involvement.
