Polygon Labs executive says Binance CZ’s pardon is not about overlooking past mistakes.

President Donald Trump’s decision to pardon Binance founder Changpeng “CZ” Chao has sparked strong reactions across the crypto industry. Chao pleaded guilty in 2023 to enabling money laundering while leading Binance and served a four-month prison sentence before receiving a full pardon this week.

The moment of political and economic polarization

The White House defended the decision, saying it was the result of a thorough review and that the prosecution of Mr. Zhao under the previous administration went too far.

President Trump told reporters that Zhao was “recommended by a lot of people” and that many people believed he was “innocent.” He argued that the incident represented political persecution rather than fair enforcement of the law.

The pardon drew criticism from lawmakers, including Sen. Elizabeth Warren, who called it an act of “political corruption” because of Zhao’s alleged financial involvement in a cryptocurrency project linked to President Trump’s family.

Aishwari Gupta of Polygon Labs: “It’s not about forgiveness, it’s about recognition.”

However, in an interview, coinpediaAishwari Gupta, global head of payments at Polygon Labs, said the pardon should be seen as an acknowledgment of Zhao’s contributions rather than a dismissal of his legal career.

“President Trump’s decision to pardon Zhao Changpeng marks a defining moment for the global cryptocurrency industry. CZ is one of the few visionaries who built a truly global infrastructure for digital assets long before regulations caught up. His leadership has given millions of people around the world access to financial tools that were excluded from traditional systems,” he said.

Mr. Gupta added that the move is “not about overlooking the mistakes of the past” but “recognizing the transformative contributions of the innovators who helped build the foundation of Web3.” He also said this could restore trust among founders and investors who have long felt targeted for building in the open.

“This is a signal that the United States may finally be ready to embrace, rather than criminalize, crypto entrepreneurship,” concluded Gupta.