Trump Claims Unfamiliarity with Pardoned Crypto Tycoon
In a recent interview with CBS News’ 60 Minutes, President Donald Trump revealed that he does not know Changpeng Zhao, despite having pardoned the prominent cryptocurrency mogul just last month. The conversation took place during a segment aired on Sunday, where Trump was questioned about his decision to grant a pardon in light of Zhao’s serious legal issues.
Details of the Pardon
Changpeng Zhao, commonly referred to as “CZ,” faced legal challenges related to money laundering, pleading guilty to charges earlier this year. Following his conviction, he served a four-month prison sentence and stepped down as CEO of Binance, the cryptocurrency exchange he co-founded.
Trump’s Remarks on Zhao
During the interview, host Norah O’Donnell inquired about the rationale behind Zhao’s pardon, especially given that prosecutors pointed out the significant harm Zhao allegedly caused to U.S. national security. Trump’s response was straightforward: “I don’t know who he is.” He mentioned that he had never met Zhao and learned that Zhao was a victim of a “witch hunt” from the Biden administration.
Implications of the Pardon
The pardon lifted previous restrictions preventing Zhao from engaging in financial activities, yet it remains uncertain how it will influence his standing with U.S. regulators or his position at Binance, which is currently the largest cryptocurrency exchange globally. White House Press Secretary Karoline Leavitt defended the pardon, labeling Zhao’s prosecution as part of a broader “war on cryptocurrency.”
Statement from White House
- Leavitt emphasized that the case was “overly prosecuted” by the Biden administration.
- She indicated that the pardon aimed to rectify a governmental overreach.
Broader Context of Cryptocurrency in the Trump Administration
Trump has been vocal about the necessity for the U.S. to secure a leading position in the cryptocurrency sector. He stated that failing to do so could allow rivals, notably China, to take the lead in emerging technologies. Previously, the Trump administration paused a fraud case related to crypto entrepreneur Justin Sun, who has deep financial ties to the Trump family’s crypto venture, World Liberty Financial.
Ongoing Developments
In a striking recent development, World Liberty Financial announced plans for a stablecoin to facilitate a $2 billion investment in Binance, led by an Abu Dhabi firm. Additionally, Trump has granted pardons to other notable figures in the cryptocurrency industry, including founders of the exchange BitMEX and Ross Ulbricht, known for establishing the dark web marketplace Silk Road.
As the cryptocurrency landscape rapidly evolves, the implications of Trump’s decisions will likely continue to garner extensive scrutiny.
