How did Zhao Changpeng and Binance obtain a pardon from Trump?

How did Zhao Changpeng and Binance obtain a pardon from Trump?

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Just a year ago, Changpeng Zhao, founder of Binance, was serving time in prison, but now he has been granted a pardon by U.S. President Trump. This dramatic turn of events not only opens a new chapter for the entrepreneur who was convicted for allowing money launderers to use his crypto exchange platform, but also serves as the latest illustration of power dynamics in Washington under the Trump administration—as long as you can afford the right lobbyist.

According to a previous article by Wallstreetcn, Trump said last Thursday (October 23): “I believe I’ve never met him, but many people have told me he has a massive amount of support. They say what he did wasn’t even a crime, and he was persecuted by the Biden administration, so at the request of many good people, I pardoned him.”

On October 25, according to U.S. media Politico, key figures among these “good people” included Trump’s son’s hunting partner Ches McDowell, as well as crypto lawyer Teresa Goody Guillén, who was considered by Trump for chair of the SEC.

For Zhao Changpeng and Binance, this pardon represents a brand new start in Washington, symbolizing Trump’s friendly attitude toward the cryptocurrency industry and laissez-faire regulatory approach. For the lobbyists who facilitated the pardon, it was a demonstration of strength, showing the trend of Washington K Street power (K Street is synonymous with “lobbying” in U.S. politics) shifting toward firms with direct connections to the White House.

This pardon is the result of nearly a year of Binance and Zhao Changpeng actively aligning themselves with the Trump administration. In addition to lobbying efforts, Binance also established business ties with the Trump family’s lucrative crypto project, World Liberty Financial.

Sky-high Lobbying Fees: $450,000 in One Month

McDowell's North Carolina-based lobbying firm, Checkmate Government Relations, has become one of Washington’s highest-grossing lobbying agencies in Trump’s second term.

In just the past three months, the firm earned $7.1 million in revenue—an astonishing profit for a company that only set up a Washington office earlier this year.

Disclosure reports show that Binance hired McDowell at the end of last September to lobby the White House and the Treasury on financial policy issues and “executive pardon” matters.

For just one month of work, Binance paid Checkmate $450,000. The report noted that last week, a photographer captured images of McDowell and Donald Trump Jr. speaking with the President at a White House event commemorating conservative activist Charlie Kirk.

(Image source: AFP; left: Ches McDowell; right: Donald Trump Jr.)

But Zhao Changpeng’s efforts toward a pardon lasted much longer than a month. In February this year, just three weeks after Trump’s inauguration, Binance and Zhao personally both hired Teresa Goody Guillén—a top crypto lawyer whom Trump reportedly considered as potential SEC chair in his second term.

Her firm has received $290,000 from Binance and Zhao so far this year.

"My client Mr. Zhao and I deeply thank President Donald J. Trump—it was his courage and moral clarity that made this day possible," she wrote on the X platform (Twitter) after the pardon news broke.

Binance’s lobbying history in Washington has been closely linked to its legal affairs and those of its founder.

Its U.S. subsidiary Binance.US first hired lobbyists at the end of 2021, and in 2022, its spending on crypto-related lobbying exceeded $1 million. In the first nine months of 2023, while Zhao and Binance were negotiating future settlements with federal prosecutors, the company’s lobbying spend nearly reached $1.2 million.

In the last few months of 2023, after Zhao and Binance agreed to plead guilty to charges of willfully ignoring anti-money-laundering laws and allowing criminals to launder illicit crypto assets via the exchange, expenditures suddenly dropped to zero.

As part of the plea deal, Zhao agreed to resign as CEO and pay a $50 million fine. He was later sentenced to four months in jail. Binance itself was fined $4 billion separately, and has since been under compliance monitoring by the Justice and Treasury departments.

A Forceful Comeback in the Trump Era

Binance’s Washington lobbying remained quiet throughout 2024, but rebounded strongly in the months after Trump took office.

So far in 2025, the company has reported $860,000 in lobbying spending, likely to match or exceed previous peaks. In July this year, current Binance CEO Richard Teng joined the advisory board of leading crypto industry association The Digital Chamber.

Beyond lobbying, Binance also established business ties with the Trump family’s lucrative cryptocurrency project World Liberty Financial, further consolidating its relationship with the President.

"President Trump and his administration are tremendous advocates for the crypto industry—the future is bright," Teng posted on X earlier this year.

Analysts pointed out that this pardon marks the culmination of near year-long efforts by Binance and Zhao Changpeng to cultivate a closer relationship with the president, and also demonstrates what is possible in Trump’s Washington when you have the right lobbyists.

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