Speculation surrounding a possible pardon for Binance co-founder Changpeng “CZ” Zhao is escalating, fueled by reports of discussions within the White House regarding a potential Presidential pardon. According to Fox Business senior correspondent Charles Gasparino, sources close to CZ believe President Trump’s team has intensified its efforts in recent days. Many insiders reportedly view the fraud case against Zhao as weak, and they are considering whether this warrants a felony conviction and prison sentence, according to Gasparino’s post on X (formerly Twitter). The news sent shockwaves through the cryptocurrency market, resulting in a surge of more than 20% in the likelihood of a presidential pardon for Zhao at prediction exchange Kalshi. Zhao, who served a four-month jail sentence after pleading guilty to failing to implement an effective anti–money laundering program in 2023, has remained barred from involvement with Binance as part of his plea deal, which included a lifetime ban on the company. Despite being released in 2024, Zhao still holds majority shares in the exchange and was vocal about seeking a presidential pardon from Trump following his release earlier this year. The possibility of his return to the industry remains a hot topic within the crypto community as political figures have continued to weigh their options regarding potential conflicts of interest with crypto ventures. While no official statement has been issued by the Trump administration, renewed speculation underscores the volatile nature of regulating crypto and its influence on politics. A pardon from Trump would likely reignite debate over whether high-profile individuals within the digital asset world are being treated differently compared to smaller companies facing regulatory scrutiny. With traders betting heavily on a potential presidential pardon for Zhao before January 2026, the political reality of the situation could have a lasting impact on the industry as we await further developments.