Pardoned Binance founder Zhao says his business relationship with the Trumps was 'misconstrued'

Changpeng "CZ" Zhao, the founder of Binance, recently addressed the misconceptions surrounding his connections with the Trump family, asserting that any insinuations of business ties have been greatly exaggerated. In an interview with CNBC's Andrew Ross Sorkin at the World Economic Forum in Davos, Switzerland, Zhao stated, "There's no business relationships whatsoever." Zhao's comments come after he was pardoned by former President Donald Trump following a four-month prison sentence for charges related to money laundering during his tenure at Binance. The pardon, issued in October 2025, highlighted Binance's financial relationship with World Liberty Financial, a firm affiliated with the Trump family. This connection traces back to a significant investment made by Abu Dhabi's MGX, valued at $2 billion, which was facilitated through USD1, a stablecoin developed by World Liberty Financial. In the interview, Zhao clarified that MGX was the sole investor in this arrangement and emphasized his preference for crypto transactions over traditional banking. "My request to them was they pay us in crypto. I don't want to deal with banks, really," he explained, reiterating that the choice of payment method should not imply a direct investment in the stablecoin's issuer. He also noted that Binance has since converted portions of that investment out of USD1 over time. The Wall Street Journal highlighted that Binance played a role in the development of the technology behind USD1, further complicating the narrative surrounding Zhao's involvement with the Trump family. In the wake of his pardon, Trump remarked that many believed Zhao had done nothing wrong, leading to his decision to grant clemency at the behest of several supporters. As the media speculated about potential deals surrounding his pardon, Zhao firmly denied any such arrangements, stating, "As far as I know, that does not exist at all." He also mentioned that he had yet to communicate directly with Trump, only having seen him from a distance at a recent event. In a separate interview, Trump claimed he had no prior knowledge of Zhao, describing him as a victim of a broader political narrative. The ongoing discussions around Zhao's pardon and the associated implications for cryptocurrency policy continue to draw significant interest from both the media and the public.