- Trump says he “doesn’t know” Binance founder Changpeng “CZ” Zhao despite issuing a pardon.
- The Trump family’s crypto company, World Liberty Financial, reportedly benefited from a $2 billion deal linked to Binance.
- Lawmakers from both parties raise ethics concerns over possible conflicts of interest.
President Donald Trump has claimed he does not know Binance founder Changpeng “CZ” Zhao, defending his decision to pardon the crypto executive. This came despite widespread criticism and questions about conflicts of interest involving the Trump family’s own crypto venture.
Zhao, who led Binance until 2023, pleaded guilty that year to money laundering violations. He was sentenced to four months in prison in April 2024 and was released in September 2024. Federal prosecutors previously accused Zhao of allowing terrorist organizations to transfer funds through Binance, calling his actions “a significant threat to U.S. national security.” President Trump granted him a full pardon last month.
Trump Calls Case a “Biden Witch Hunt”
In a 60 Minutes interview with CBS’s Norah O’Donnell that aired Sunday, Trump distanced himself from Zhao, saying, “I don’t know who he is,” and dismissed the case as “a Biden witch hunt.”
When pressed about the optics of pardoning a crypto billionaire whose company had financial dealings with his family’s business, Trump said his sons were involved in the venture, not him.
“I’m glad they are, because it’s probably a great industry,” he said, adding that he was “too busy doing other things” to know about Binance’s activities.
Trump appeared frustrated during the exchange, at one point threatening to walk out of the interview before eventually continuing.
Binance’s Role in Trump Family Crypto Deal
Reports from Bloomberg revealed that Binance played a role in facilitating a $2 billion investment in World Liberty Financial, a crypto company majority-owned by the Trump family.
The investment, made by Emirati state-backed fund MGX, boosted the value of World Liberty’s stablecoin, USD1, from about $127 million to more than $2 billion earlier this year. Binance developed the technology supporting the stablecoin, though both companies have denied any connection between Zhao’s pardon and the investment.
A lawyer for World Liberty stated that the company “has never assisted in, facilitated, or influenced” the pardon. At the same time, Binance’s legal team said Zhao “did not act as a relationship facilitator” in the MGX deal.
Lawmakers Condemn the Pardon
The decision has drawn bipartisan criticism in Washington. Democratic Sen. Elizabeth Warren said Trump’s action “makes a mockery of justice” and warned that Congress must act to prevent corruption in pending crypto legislation. Rep. Jerry Nadler called the move “a shameful abuse of power.”
Even some conservative voices expressed concern. Tech investor Joe Lonsdale, a Trump supporter, earlier said on X that the president “has been terribly advised” and that the pardon “makes it look like massive fraud is happening around him.”
The controversy comes as Trump faces renewed scrutiny over his use of presidential pardons. Critics have noted the contradiction between Trump’s claim of ignorance about Zhao’s case and his previous statements criticizing President Biden for allegedly signing pardons “without knowledge” using autopen.
Related: Crypto Market Divided: Was CZ’s Pardon ‘Obvious’ or a Case of Insider Advantage?
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