On October 23, 2025, the cryptocurrency world was shaken by a shocking global announcement: U.S. President Donald Trump officially pardoned Binance founder Changpeng Zhao (CZ). This crypto giant, who was sentenced to four months in prison for violating U.S. anti-money laundering laws, received a pardon just before completing his sentence, causing a significant market upheaval. Following the news, Binance's platform token BNB surged dramatically, and the WLFI token, a crypto project under the Trump family, soared over 14%. This was not merely a political pardon; it revealed a complex web of interests involving the Abu Dhabi sovereign wealth fund, Binance, and the Trump family's crypto empire—World Liberty Financial—bringing to light a century's worth of political, financial, and Web3 intrigue.
- Epic Reversal: Trump Pardons Changpeng Zhao, Crypto Market Trembles
On October 23, local time, the White House announced that President Trump officially pardoned Binance founder Changpeng Zhao (CZ).
Background of CZ: Changpeng Zhao was previously charged with violating U.S. anti-money laundering laws, pleaded guilty in November 2023 in a Seattle federal court, resigned as CEO of Binance, and was sentenced to four months in prison in April 2024.
White House Statement: White House Press Secretary Karoline Leavitt stated, "President Trump exercised his constitutional power to pardon Mr. Zhao. Mr. Zhao was prosecuted by the Biden administration in the cryptocurrency war." She accused the Biden administration of "punishing the cryptocurrency industry," insisting on prosecuting Mr. Zhao even without fraud charges or clear victims.
CZ's Response: After the news broke, Changpeng Zhao took to social media platform X to thank President Trump and stated he would "do everything possible to help the U.S. become the cryptocurrency capital."
Market Reaction: Following the announcement of the pardon, Binance's platform token BNB skyrocketed, with daily gains rapidly expanding and market sentiment soaring. After President Trump pardoned CZ, the WLFI token under World Liberty Financial also rose over 14%.
- Behind-the-Scenes Deal: The "Symbiotic Relationship" Between Binance and the Trump Family
This pardon is widely viewed as the result of a political deal, underpinned by deep ties between Binance and the Trump family's crypto empire.
WSJ Exposé: The Wall Street Journal reported that Binance had lobbied for nearly a year to secure Changpeng Zhao's pardon, leading to the perception of this pardon as a political transaction.
Democratic Criticism: Prominent Democrats, including Senator Elizabeth Warren, quickly condemned Trump's actions as "corrupt." She accused Changpeng Zhao of securing his pardon by funding Trump's stablecoin project after his guilty plea and called for congressional investigations.
Trump Family Crypto Empire: Two months ago, the Wall Street Journal reported that the Trump family's cryptocurrency business, established since the 2024 election, had generated approximately $4.5 billion in revenue, with the project's success "benefiting from a partnership with a secret trading platform discreetly managed by Binance."
- The "Roundabout" of Abu Dhabi Funds: $2 Billion Investment Reveals Symbiotic Chain
Crypto investigator Coffeezilla's revelations further exposed the symbiotic relationship between the Abu Dhabi sovereign wealth fund, Binance, and the Trump family's crypto empire.
MGX's $2 Billion Investment: The UAE sovereign wealth fund MGX invested $2 billion in Binance in March this year. However, this transaction was not completed directly; it was briefly routed through a DeFi project of the Trump family, converting the funds into USD1 (the stablecoin of WLFI) before handing it over to Binance.
Mutually Beneficial "Seamless Connection": This roundabout strategy not only bound the two entities together but also brought additional benefits:
WLFI: Its new stablecoin USD1 quickly gained $2 billion in new liquidity shortly after its launch, boosting its support rate.
Binance: Gained direct economic benefits; if Binance does not attempt to redeem these funds, it will earn $60 million to $80 million annually, ensuring the Trump family's stablecoin maintains its pegged exchange rate.
Trump: Expanded influence in the cryptocurrency field, with his family's crypto project gaining significant liquidity.
Questioning "Compliance History": The fund mentioned World Liberty's "compliance history" when selecting the USD1 asset. However, considering that World Liberty Financial was established only a year ago, its "compliance history" is under scrutiny.
- Politics, Wealth, and Web3: An Unprecedented Game
The event of Trump pardoning CZ intertwines politics, wealth, and Web3, raising concerns about corruption, market stability, and future regulation.
Corruption Allegations: If proven true, the level of corruption could be unprecedented in U.S. history. Aside from potential market instability, such relationships fundamentally undermine social structures and political life.
CZ's Future: The pardon paves the way for his return to the crypto industry, and his personal status still makes this investment a reasonable choice. Once he returns to legitimate business in the U.S., Changpeng Zhao could quickly reclaim that $2 billion.
Politicization of Cryptocurrency: This incident highlights the direct binding of the crypto industry to the highest political power in the U.S., suggesting that the regulatory environment in the cryptocurrency sector may become more lenient in the future.
Market Impact: The surge of the WLFI token underscores the deep ties between Binance and the Trump crypto empire, suggesting that this symbiotic relationship could theoretically benefit both parties.
Conclusion:
Trump's pardon of Changpeng Zhao marks an epic reversal in the cryptocurrency world, revealing a complex web of interests involving Abu Dhabi, Binance, and the Trump family's crypto empire. This is not just a political and financial game but a microcosm of the deep intertwining of power, wealth, and emerging technologies in the Web3 era. Regardless of the final investigation results, this incident will have far-reaching implications for the regulation of the cryptocurrency market, political influence, and industry trust.
Related Reading: Trump on Pardoning CZ: Someone Told Me "What He Did Wasn't Even a Crime"
Original Article: “Epic Reversal! Trump Pardons Former Chinese Tycoon, Mysterious Deal Raises Questions”
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
