Fake Pardon and Market Reaction
Rumors spread in Chinese media claiming that Donald Trump had allegedly signed a pardon for Changpeng Zhao (CZ), the founder of Binance. The news quickly went viral on social media and anonymous channels, causing the BNB token to spike sharply to $650. However, CZ quickly intervened and stated that this was misinformation.
Binance co-founder Yi He also directly refuted the rumors, calling them “fabricated.” According to her, no pardon was granted, and journalists should verify information through official sources.
Information Attack — According to CZ
In his post on X, Zhao said that the rumors were most likely “planted by competitors from China.” He noted that the original fake publication appeared on the media platform BlockBeats but was deleted shortly after the rebuttal. CZ emphasized that this was already the fourth wave of FUD he had faced.
“Before believing such things, check official sources. This is fake,” he wrote.
As proof, CZ attached a post from Donald Trump himself, where the former president commented on the spread of fake news in the media. Trump once again attacked CNN and The New York Times, calling them sources of disinformation.
Fact: A Pardon Request Was Indeed Submitted
Although the rumor of a signed pardon turned out to be false, Zhao himself previously confirmed that his team had officially submitted a request to Donald Trump in April. He mentioned this in a podcast, adding that the move was related to Bloomberg and WSJ publications linking CZ to Trump’s circle.
As of the publication date, the U.S. Department of Justice’s database contains no record of any pardon for Zhao.
Case History and Potential Precedent
As a reminder, in April 2024, Zhao was sentenced to 4 months in prison over the lack of an effective anti-money laundering system at Binance. He was released in September. Binance paid a $4.3 billion fine — one of the largest corporate fines in U.S. history. CZ himself paid $50 million.
Trump had previously issued pardons to prominent figures in the industry, including Silk Road founder Ross Ulbricht and three BitMEX founders. These actions were viewed as an attempt to build a more favorable image in Washington.
Market Reacted Sharply, But Briefly
Amid the fake news, the BNB token surged to $650 but soon returned to $644.2. The fluctuation was short-lived. At the same time, the OFFICIAL TRUMP token dropped 2% in a day and is down 30% over the last 30 days.
Despite this, it still shows a 655% increase since the beginning of the year. It is currently trading at $9.12.
What’s Next?
The fake pardon of CZ is a vivid example of how quickly the market can heat up based on rumors and how important it is to verify information. The possibility of a presidential pardon remains open, but no confirmation has been provided so far. In the meantime, Binance and CZ himself are trying to stay away from political speculation.
