Binance Holdings Limited · money laundering · cryptocurrency · sanctions · criminal prosecution · plea agreement · pardon
Did Binance and Changpeng Zhao plead guilty to US anti-money laundering offences, and what did the pardon change?
Yes. On 21 November 2023 Binance Holdings Limited pleaded guilty to Bank Secrecy Act, unlicensed money transmitting and sanctions charges and agreed to pay about 4.3 billion dollars, and founder Changpeng Zhao pleaded guilty to failing to maintain an effective anti-money laundering programme. Zhao was sentenced to four months in prison on 30 April 2024. President Trump granted Zhao a full and unconditional pardon dated 21 October 2025. The pardon does not erase his conviction and does not apply to Binance's own corporate plea.
Last verified 30 October 2026. United States · Also concerns Changpeng Zhao
The record at a glance
| What was alleged? | The US Department of Justice alleged that Binance prioritised growth and profits over compliance with US law, failed to maintain an effective anti-money laundering programme, operated as an unlicensed money transmitting business and allowed transactions in violation of US sanctions, and that Zhao, as chief executive, failed to maintain an effective anti-money laundering programme.1 |
|---|---|
| Who made the claim? | US Department of Justice and US Attorney's Office for the Western District of Washington, 21 November 2023 |
| How did Binance respond? | Both Binance and Zhao pleaded guilty. At sentencing Zhao apologised and told the court he had failed, as reported by the Associated Press. After the pardon Zhao posted that he was deeply grateful, and Binance's position, in a post on X, was that it welcomed the pardon and remains focused on building a secure and transparent platform.2,3 (the subject's position) |
| Was there an official finding? | Binance Holdings Limited and Changpeng Zhao each pleaded guilty in US federal court on 21 November 2023 to the offences described by the Justice Department.1 Zhao was sentenced to four months in prison and later received a presidential pardon dated 21 October 2025.4,6 According to the Justice Department, a pardon does not signify innocence and the pardoned offence is not removed from a criminal record.10 |
| Was liability determined? | Admitted by the subject. Binance Holdings Limited and Zhao each pleaded guilty, and Zhao was sentenced on his plea. Zhao's conviction has been pardoned, which is forgiveness of the federal offence and not a vacatur or finding of innocence. The pardon names Zhao only. Binance's corporate guilty plea and plea agreement obligations are not covered by it.1,6,10 |
| What changed later? | As of 30 October 2026 Binance's corporate guilty plea stands with no public record of its monitorship ending, and Zhao's conviction stands but has been pardoned.1,6,8,9 |
| When was this checked? | 30 October 2026 |
What was alleged?
The US Department of Justice alleged that Binance prioritised growth and profits over compliance with US law, failed to maintain an effective anti-money laundering programme, operated as an unlicensed money transmitting business and allowed transactions in violation of US sanctions, and that Zhao, as chief executive, failed to maintain an effective anti-money laundering programme.1
Made by US Department of Justice and US Attorney's Office for the Western District of Washington on 21 November 2023.
What did Binance say?
Both Binance and Zhao pleaded guilty. At sentencing Zhao apologised and told the court he had failed, as reported by the Associated Press. After the pardon Zhao posted that he was deeply grateful, and Binance's position, in a post on X, was that it welcomed the pardon and remains focused on building a secure and transparent platform.2,3
"I deeply regret my failure, and I am sorry."
Changpeng Zhao, in court at sentencing (as reported by the Associated Press), 30 April 2024. This is the subject's own account, not a finding.
What do independent records show?
Guilty pleas, United States v. Binance Holdings Limited and United States v. Zhao (No. 23-CR-00179-RAJ)
US Department of Justice and US District Court for the Western District of Washington, 21 November 2023
Binance Holdings Limited pleaded guilty to violations related to the Bank Secrecy Act, failure to register as a money transmitting business and the International Emergency Economic Powers Act, agreeing to a criminal fine of 1,805,475,575 dollars and forfeiture of 2,510,650,588 dollars, a total of 4,316,126,163 dollars, and an independent compliance monitor for three years. Zhao pleaded guilty to failing to maintain an effective anti-money laundering programme in violation of the Bank Secrecy Act. The Department said it would credit about 1.8 billion dollars toward parallel CFTC, FinCEN and OFAC resolutions.1
Sentencing of Changpeng Zhao (as reported)
US District Court for the Western District of Washington (Judge Richard A. Jones), 30 April 2024
Zhao was sentenced to four months in prison. Prosecutors had sought three years, according to the Associated Press and Axios.2,4
Reported negotiations over the compliance monitor requirement (as reported by Bloomberg)
US Department of Justice, 16 September 2025
Bloomberg reported, citing people familiar with confidential talks, that Binance was moving toward a potential deal with the Justice Department that would end its obligation to retain an outside compliance monitor. No public record of an agreement or early termination was found.5
Executive Grant of Clemency, United States v. Zhao, 23CR00179RAJ-001
President of the United States, 21 October 2025
A full and unconditional pardon granted to Changpeng Zhao under Article II, Section 2, Clause 1 of the Constitution. White House press secretary Karoline Leavitt announced it in a written statement on 23 October 2025.6,7
Letter to Acting Attorney General Todd Blanche
US Senate Permanent Subcommittee on Investigations (Ranking Member Richard Blumenthal), 17 April 2026
The letter asked whether the monitorship's scope had changed, what stage the monitor had reached, whether the monitor had reported misconduct and whether the Department had discussed ending the monitorship early. Fortune reported the same day that the Justice Department monitor and FinCEN monitor had been installed in 2024 and did not report that either had ended.8,9
What was established?
- Binance Holdings Limited and Changpeng Zhao each pleaded guilty in US federal court on 21 November 2023 to the offences described by the Justice Department.1
- Zhao was sentenced to four months in prison and later received a presidential pardon dated 21 October 2025.4,6
- According to the Justice Department, a pardon does not signify innocence and the pardoned offence is not removed from a criminal record.10
Distinctions that matter here
- A pardon is forgiveness of the offence. It does not vacate the conviction or declare innocence.
- Zhao's personal pardon is separate from Binance Holdings Limited's corporate guilty plea, which it does not mention.
Was liability determined?
Admitted by the subject. Binance Holdings Limited and Zhao each pleaded guilty, and Zhao was sentenced on his plea. Zhao's conviction has been pardoned, which is forgiveness of the federal offence and not a vacatur or finding of innocence. The pardon names Zhao only. Binance's corporate guilty plea and plea agreement obligations are not covered by it.1,6,10
What remains unresolved?
- Bloomberg reported in September 2025 that Binance was nearing a deal with the Justice Department to end the compliance monitorship early. No public record of early termination was found as of 30 October 2026.
- No public answer to the Senate subcommittee letter of 17 April 2026 was found.
What is the current status?
As of 30 October 2026 Binance's corporate guilty plea stands with no public record of its monitorship ending, and Zhao's conviction stands but has been pardoned.1,6,8,9
As of 30 October 2026. No next proceeding is scheduled in the records we found.
Timeline
- Binance and Zhao plead guilty.1
- Zhao sentenced to four months in prison.2,4
- Bloomberg reports talks to end the Justice Department monitorship early.5
- Pardon signed, according to the grant of clemency.6
- White House announces the pardon.7
- Senator Blumenthal writes to the Acting Attorney General about the Binance monitorship.8,9
Sources
- US Department of Justice, Office of Public Affairs, Binance and CEO Plead Guilty to Federal Charges in $4B Resolution, 21 November 2023 · document record Government, parliamentary or audit document
- Washington Times (Associated Press), Changpeng Zhao, Binance founder, sentenced to 4 months (AP), 30 April 2024 Independent reporting
- Crowdfund Insider, Changpeng Zhao (CZ) Receives Pardon from President Trump, 23 October 2025 Independent reporting
- Axios, Binance founder sentenced to 4 months in prison, 30 April 2024 Independent reporting
- Bloomberg Law (Bloomberg News), Binance Nears Deal to Escape Compliance Monitor Imposed by DOJ, 16 September 2025 Independent reporting
- US Department of Justice, Office of the Pardon Attorney, Executive Grant of Clemency, Changpeng Zhao, 21 October 2025 · document record Court, legislation, official register or regulator record
- Washington Times, Trump pardons Changpeng Zhao, who founded one of the world's largest crypto exchanges, 23 October 2025 Independent reporting
- US Senate Permanent Subcommittee on Investigations, Letter from Sen. Blumenthal to Acting Attorney General Todd Blanche, 17 April 2026 · document record Government, parliamentary or audit document
- Fortune, Fortune report on Senator Blumenthal's letters about the Binance monitorships, 17 April 2026 Independent reporting
- US Department of Justice, Office of the Pardon Attorney, Frequently Asked Questions · document record Government, parliamentary or audit document
Revision history
- 30 October 2026: First published after source verification.
Related: Binance Holdings Limited, money laundering, cryptocurrency, sanctions, criminal prosecution, plea agreement, pardon, United States. To submit a document or request a correction, see right of reply.