CZ Describes Industry Pushback Against His Pardon

• CZ claims U.S. exchanges spent millions lobbying to block pardon over competition fears.
• Binance also conducted lobbying, with $450K tied to Trump Jr.-linked group.
• Star Xu disputes CZ’s past claims, reviving OKCoin-era conflicts.

Changpeng “CZ” Zhao, founder of Binance, has alleged that U.S.-based crypto exchanges spent millions of dollars lobbying against his presidential pardon, framing the effort as part of intensified competition within the American digital asset market. He wrote that competing firms feared increased competition if regulatory barriers were reduced.

Zhao also referenced what he described as unfavorable media coverage from outlets such as The Wall Street Journal and Bloomberg, suggesting that these reports were influenced by industry participants. He characterized some of the reporting as “false news” and “smear articles,” though no specific evidence was detailed in the claims.

Separate reporting from Politico claims that Binance itself engaged in lobbying tied to the pardon process, including payments totaling hundreds of thousands of dollars. One disclosed payment included $450,000 to a lobbying group with ties to Donald Trump Jr.

Legal History and U.S. Market Strategy

Zhao received a pardon from Donald Trump last October following a legal case that concluded in 2023. He had pleaded guilty to failing to implement adequate anti-money laundering controls at Binance and had stepped down as CEO as part of the resolution.

In his account, Zhao noted that the requirement to serve prison time differed from past enforcement outcomes, which he said often resulted in deferred prosecution agreements or home confinement.

The memoir’s release comes as Binance and its U.S. affiliate continue efforts to stabilize and rebuild their domestic operations. Binance.US recently appointed Stephen Gregory, formerly of Currency.com, as chief executive officer. The firm has also restored fiat deposit and withdrawal services for U.S. customers after a period of disruption.

Industry Disputes Resurface Amid Book Release

At the same time, Zhao’s narrative has drawn public criticism from Star Xu, founder and CEO of OKX. Xu questioned Zhao’s earlier claims about funding a Bitcoin investment by selling a $900,000 apartment, raising doubts about ownership and financial details.

Xu also revisited a 2015 contract dispute involving Roger Ver, in which Zhao faced allegations of contract forgery during his time at OKCoin. Zhao denied those allegations in his memoir, describing the situation as a disagreement over leadership rather than misconduct.

The exchange between the two executives extended to social media, where both parties disputed claims about personal and business matters, including asset separation and public statements.

Related: OKX CEO Criticizes CZ Over Claims in Freedom of Money