What were the charges against Crypto Billionaire Changpeng Zhao? Details explored as Trump pardons Binance founder

President Donald Trump pardoned Changpeng Zhao, the creator of Binance, a cryptocurrency platform, sparking backlash from both Republican and Democratic lawmakers. Known by the nickname CZ, Zhao admitted guilt to money laundering charges in November 2023.

Federal officials had alleged Binance served as a center for illegal financial activities.

Trump rewarded Changpeng Zhao, a business partner who boosted his crypto venture, with a pardon for crimes that Zhao pleaded guilty to.

Trading presidential favors for self-interest.

You can’t get more classically corrupt than this. https://t.co/OHfFGgesvo

— Ahmed Baba (@AhmedBaba_) October 23, 2025

The move has caused lawmakers to worry about how it might affect efforts to regulate cryptocurrency in Washington. Republican Senator Thom Tillis from North Carolina voiced his opposition, saying, "I don’t like it. He was convicted. He’s not innocent."

Tillis’s remarks show frustration among some Republicans over the pardon.

Democrats have also condemned the pardon. Sen. Elizabeth Warren, who leads the Democrats on the Senate Banking Committee, stated,

“If Congress does not stop this kind of corruption in pending market structure legislation, it owns this lawlessness.”

Warren’s comments show worries that the pardon might hurt both parties' attempts to create new rules for the cryptocurrency industry.

Lawmakers raise concerns over Zhao Pardon amid crypto regulation efforts

Sen. Elizabeth Warren stands against the market structure legislation, but a team of 12 Democrats open to crypto is joining Republicans to create a plan for the bill. Arizona’s Sen. Ruben Gallego, who leads this push, recognized Warren’s worries and said the matter "does need to be addressed."

He also said,

"It’s absolutely corrupt what this president is doing, and none of us should be surprised," stressing the importance of stopping big crypto companies such as Binance from taking advantage of U.S. markets.

Sen. Ben Ray Luján, a Democrat from New Mexico who supports cryptocurrency, shared doubts about the pardon but focused on legislative goals. He stated,

“I’m not going to get distracted by what this president does either.” Luján added, “I would argue that this bill should make the environment — and will make the environment — stronger so that crooks can’t get away with the bullshit that they get away with.”

The pardon for Zhao is expected to make it harder to pass wide-reaching cryptocurrency regulations that depend on bipartisan support.

Some critics highlight possible conflicts of interest involving investments from Abu Dhabi-backed funds and digital tokens connected to businesses started by Trump’s sons.

This has fueled more pressure for regulatory protections.