Concerns have arisen among rival crypto exchanges regarding the potential impact of a pardon for Binance co-founder Changpeng “CZ” Zhao. During a recent podcast, Zhao expressed skepticism about receiving a pardon from US President Donald Trump, citing pushback from competitors who fear Binance's return to the US market could threaten their businesses.
Zhao completed a four-month prison sentence in September 2024 for violating US anti-money-laundering laws. Following a significant settlement with the US government totaling $4.3 billion, Binance exited the US market in November 2023. However, operations resumed for Binance.US in February 2025, prior to Zhao's pardon in October 2025.
Despite his lack of evidence, Zhao believes that strong lobbying efforts from other exchanges contributed to the uncertainty surrounding his pardon. His recent remarks come after a federal court dismissed a complaint against Binance and Zhao related to allegations of facilitating fund transfers to terrorist organizations.