Is Trump on the way to a pardon for Binance? Discussions Started in the White House.

Discussions about U.S. President Donald Trump potentially granting clemency to Binance co-founder Changpeng “CZ” Zhao have resurfaced at the White House. Fox Business reporter Charles Gasparino stated on social media platform X that sources close to CZ have indicated that discussions regarding clemency have gained momentum under the Trump administration.

According to Gasparino, individuals close to Trump believe that the fraud case against CZ is based on weak foundations and that it “is not serious enough to warrant a prison sentence.” Zhao, who was released after completing his sentence last year, revealed in a podcast he attended in May that he had requested clemency from President Trump. However, the Wall Street Journal claimed in March that CZ had previously applied for clemency, a claim Zhao denied.

How willing Trump is to grant clemency is open to debate. According to Gasparino, Trump is positively inclined towards granting clemency to CZ. However, the White House team has concerns about how this clemency might be perceived by the public given the president's ties to cryptocurrencies. The Trump family's recent involvement in various crypto projects makes the issue politically more sensitive.

Binance CEO Richard Teng stated last month that CZ is still the largest shareholder of the exchange but reminded that the settlement agreement with the U.S. government included a lifetime ban. In 2023, CZ accepted charges of “not implementing an effective anti-money laundering program” and was sentenced to four months in prison. Additionally, he was fined $50 million, while Binance faced a penalty of $4.3 billion. This situation was noted as one of the largest corporate settlements in crypto history.

Crypto investors should closely monitor developments at the White House. CZ's situation and the potential clemency decision by Trump should be observed for their impact on the market prices of Bitcoin and other crypto assets. As the crypto market continues to be affected by political developments, it will be essential for investors to make informed decisions.