White House Confirms Careful Consideration of CZ Pardon

The White House has stated that it thoughtfully evaluated the pardon for Binance founder Changpeng Zhao, ensuring that all standard procedures were followed prior to presenting it to President Donald Trump for approval. This was confirmed by White House Press Secretary Karoline Leavitt.

Key Takeaways

The White House confirmed a thorough review of the pardon request for Binance’s Changpeng Zhao before it reached President Trump.
Trump defended granting the pardon, dismissing criticisms as politically motivated.
Leavitt stated that Zhao was excessively prosecuted by the DOJ, and the criminal justice system needed correction.
Zhao pleaded guilty to a single charge related to compliance failures, resulting in a light sentence.
An unbroadcasted segment from Trump's interview raised questions about potential corruption surrounding the pardon.

This article highlights the complexities behind high-profile legal decisions in the crypto world, an arena that is constantly evolving and under scrutiny.

CZ pardon was considered with ‘utmost seriousness,’ White House says

During an interview with CBS News’ 60 Minutes, Trump justified the pardon, insisting he did not know who Zhao was and labeling the criticisms as politically driven.

In a press briefing, Leavitt explained that Trump’s comments regarding Zhao were to emphasize that he does not have a personal connection with Zhao. She reiterated that the decision to grant the pardon underwent serious consideration and was reviewed thoroughly by the Department of Justice and the White House Counsel's office.

“There’s a dedicated team of qualified lawyers who examine each pardon request that eventually reaches the President of the United States,” she stated. “Ultimately, he is the final decision-maker.”

Press secretary Karoline Leavitt addressed reporters about Zhao’s pardon in a briefing on Tuesday. Source: YouTube

This decision follows various reports indicating that Binance and Zhao supported the Trump family's crypto initiative, World Liberty Financial, by assisting in the creation of its stablecoin and involving it in a $2 billion investment deal. Binance’s CEO Richard Teng has denied these claims.

Trump’s Justification for the Pardon

Leavitt asserted that Zhao faced "over-prosecution by a weaponized DOJ," and claimed the Biden administration sought an excessive penalty.

Zhao had previously pleaded guilty in November 2023 for failing to maintain an effective Anti-Money Laundering program at Binance, which violated the US Bank Secrecy Act. US prosecutors had initially asked for a three-year prison sentence, but the judge deemed it excessively harsh and instead imposed a four-month jail term, which Zhao began serving in April 2024.

“The president is rectifying that wrong, officially putting an end to the Biden administration’s campaign against the cryptocurrency sector, and that’s the message conveyed through this pardon,” Leavitt commented.

Zhao's attorney, Teresa Goody Guillén, along with other supporters, contended that the sentence was unduly severe considering it was a single charge regarding the compliance program, and Zhao is a non-violent first-time offender.

Uncovering 60 Minutes' Edited Content

In a segment of Trump’s 60 Minutes interview that did not air, CBS's Norah O'Donnell questioned the president about concerns regarding the appearance of corruption stemming from Zhao’s pardon.

“I can’t say I’m not concerned. I’d prefer not to discuss the question,” Trump replied based on a transcript from the interview.

He went on to declare that the United States holds the top position in the crypto industry globally thanks to his presidency, emphasizing the need to prevent "China or anybody else" from taking it away due to its significant economic value.

An excerpt of the transcript showing a question that was cut from the broadcast. Source: CBS News

CBS’s YouTube channel noted that the interview was “condensed for clarity,” revealing that Trump remarked his sons are more tech-savvy in the crypto sector than he is, and that he only knows “little” about the industry aside from its vast potential.