Space Review | Trump's Pardon of CZ and the Strategic Shift Behind It: Policy, Market, and Ecological Opportunities of TRON

On October 23, 2025, U.S. President Trump signed a presidential pardon for Binance founder Zhao Changpeng (CZ), a decision that has garnered widespread follow in both American politics and the encryption industry. Behind this decision is the “American Crypto Capital” strategy that the Trump administration is vigorously promoting, marking a fundamental shift in the U.S. attitude toward the encryption industry.

The background of this pardon dates back to 2024, when Binance reached a historic settlement with U.S. regulators, agreeing to pay up to $4.3 billion in fines, and CZ himself also bore corresponding legal responsibilities for violating the Bank Secrecy Act. In less than a year, from severe penalties to presidential pardon, this dramatic shift highlights the strategic adjustment of U.S. encryption policy.

On October 28, an in-depth discussion about the Trump pardon controversy and how it stirs the future of the global encryption market was held passionately in a Twitter Space hosted by SunPump. This Space gathered several industry veterans, aiming to penetrate the surface and explore the political logic behind the pardon event, its profound impact on the encryption market, and the layout strategies for ordinary investors in the new cycle. This was not only a sorting of information but also a valuable clash of ideas for all market participants, clearing the fog and seeking direction before a critical turning point.

The underlying logic behind Trump's pardon of CZ: is it a transfer of interests or a grand strategy?

Regarding Trump's pardon of CZ and the motives behind it, the guest coin news first cleared away the surface fog. He pointed out that although there is solid project cooperation between Binance and Trump's family business entities, this essentially conforms to the normal mechanism in the American political ecology where business groups lobby through political action committees (PAC). For the encryption industry, this should be viewed as a positive “political feedback”, indicating a significant shift in the policy environment.

The views of guest Tang Shiyi resonate with coin information and are supplemented from a financial perspective. He believes that Trump's policies are equivalent to “opening the floodgates” from a top-level design, implementing “policy easing.” This increases the likelihood that the liquidity released by the Federal Reserve will flow into the relatively smaller encryption market, creating a “rising tide lifts all boats” effect. For ordinary participants, the key is to be “closer to the source of water” and engage in early projects that can take advantage of this policy dividend.

Guest 527's perspective is more grand, revealing the deep considerations behind the United States' creation of a “crypto capital” from a national strategic level: subjectively, this is amidst the challenges of new energy and multi-polar currencies to the dollar hegemony, by “chain reforming” core assets like US stocks and bonds, and promoting stablecoins to build a global new settlement network for the dollar, thereby consolidating its financial hegemony; objectively, encryption technology is also the underlying infrastructure prepared for the upcoming AI economic wave, with blockchain becoming the key foundation for efficient and trustworthy collaboration and payment among AI agents. Based on this grand perspective, he believes that the Trump administration's “pardon” of CZ is by no means a simple exchange of interests, but rather a strategic transformation in the overall national policy of the United States from exclusion to full embrace of crypto assets in order to seize the next generation of technology and financial high ground.

After a deep analysis of the strategic intentions behind the pardon, the discussion naturally shifts to its actual impact on the market: Trump's pardon of CZ, the listing of Hong Kong's first Solana ETF, and the Federal Reserve's interest rate cut expectations. Can the “policy-finance-regulation” resonance created by these three major events truly ignite a new round of encryption bull market?

Despite the rare synergy formed by the three major events, the guests generally hold a cautiously optimistic attitude. They believe that under the current market size, which is no longer comparable to the past, it is unrealistic to fully replicate the violent bull market of 2019. A more likely scenario is that this round of resonance will give rise to a new market paradigm with more structural characteristics: centered around mainstream assets and compliant channels, driving the market towards a more mature and mainstream new development stage. For astute participants, this will undoubtedly bring about a new round of significant opportunities, but the manifestation of these opportunities will be more diversified, requiring investors to possess stronger track selection and ecological layout capabilities.

Investor Layout Guide: Left hand Meme traffic, right hand stablecoin yield, TRON becomes the core carrier.

In the highlight segment of Space, the discussion returned to the most concerning question for every participant: In light of Trump's pardon of CZ and the grand narrative of creating a “crypto capital”, how should ordinary investors position themselves? The guests engaged in a discussion with practical value, covering everything from track selection to specific strategies.

Mr. Bai, the guest, made a very insightful point: he suggests moderately allocating to Meme coins. He believes that the core value of Meme coins in this cycle lies in their strong ability to attract new users and extremely low promotional resistance. He used the Meme coins issued by Trump himself as an example, pointing out that they are essentially “fair enough and transparent enough” community assets, without the dumping of low-priced chips from VCs, bringing valuable new users and liquidity to the industry. For community leaders and ordinary users, participating in Meme coins with small amounts of money is not only embracing trending traffic but also a controllable risk attempt.

He further pointed out that investors can focus on Meme projects that are backed by strong ecosystems and have a foundation of community consensus. For example, SunPump is a Meme fair launch platform within the TRON ecosystem that combines community enthusiasm with ecological empowerment potential. With the help of SunPump and its automatic coin issuance AI assistant SunGenX, users can quickly discover hot projects and participate in market trends, allowing them to deeply engage in an active ecosystem.

At the same time, a more certain main theme has been repeatedly emphasized by several guests - stablecoins. Guest 527 conducted an in-depth analysis on this, believing that the golden period for retail investors to make profits may just be beginning. His core logic is that for the U.S. to realize its vision of becoming the “encryption capital” and promote the on-chain of U.S. dollar assets, the most direct way is to cultivate user habits through high-yield incentives and airdrop expectations. Based on this, he suggested that ordinary investors focus on participating in various projects centered around U.S. dollar stablecoins, sharing the industry development dividends through active involvement in ecological construction.

In this trend, it is crucial to choose a public chain that has strong compliance endorsement, a complete stablecoin infrastructure, and a thriving DeFi ecosystem. The TRON ecosystem is an excellent carrier of this trend.

The compliance advantage of TRON lies in the fact that it officially landed on NASDAQ (stock code: TRON) in July 2025 through “Tron Inc.”, becoming one of the few listed entities based on a blockchain mainnet. This milestone event provides strong compliance endorsement for the entire TRON ecosystem. The listing is not just a formal change; Tron Inc. also submitted documents to the SEC to plan to issue up to $1 billion in hybrid securities, clearly stating that the funds will primarily be used to purchase TRX coins and for corporate operations. This means that in the future, there will be at least $1 billion of compliant capital that can legally flow into the on-chain ecosystem of TRON through this listed company structure.

The advantages of stablecoins are equally significant. According to TRONSCAN data, the current issuance of USDT on the TRON network has exceeded 78.5 billion coins, making it the absolute main artery for US dollar stablecoins flowing on-chain. More importantly, the TRON ecosystem strategically introduced the compliant stablecoin USD1, backed by the Trump family, which not only achieves a deep binding with compliant US dollars but also represents a key step in actively embracing the US regulatory framework and strengthening its legitimacy.

At the same time, the DeFi projects of TRON are flourishing. According to TRONSCAN data, the total locked value (TVL) of the TRON ecosystem exceeds $25.5 billion, with the TVL of the core lending protocol JustLend DAO surpassing $7.3 billion, making it one of the key protocols with strong profitability in the ecosystem. In addition, the first native perpetual DEX “SunPerp” in the TRON ecosystem has also performed outstandingly, with trading volume rapidly exceeding $1.8 billion since its launch in September 2025, and the total trading volume currently reaching $2.98 billion, with registered users exceeding 29,000, showcasing the development potential of this emerging sector.

What is more noteworthy is that the large-scale repurchase and destruction plan for the ecological governance token JST has officially started, injecting strong deflationary momentum into the ecosystem. According to the announcement, JustLend DAO has completed the first repurchase using 17,726,141 USDT from its existing earnings, successfully destroying 559,890,753 JST, which accounts for approximately 5.66% of its total supply. This destruction is not only substantial but, more importantly, establishes a sustainable “value flywheel” model. The net income of the JustLend DAO protocol and the excess revenue from the USDD multi-chain ecosystem will continuously be used for the repurchase and destruction of JST, providing solid support for the long-term value of the token.

As the guests have insightfully pointed out, the industry is transitioning from the wilderness to compliance and mainstream, which means that the myth of getting rich quickly will diminish, but sustainable earning opportunities based on logic and ecological participation are emerging on a large scale. For ordinary participants, understanding the capital logic behind the “crypto capital” strategy and choosing ecosystems like TRON, which has a large stablecoin base, a thriving DeFi ecosystem, and a clear compliance path, is undoubtedly a rational strategy to seize the benefits of this era.