Binance CZ admits Biden DOJ aggressively pursued prosecution

Binance CZ acknowledged that it was aggressively prosecuted by the Biden DOJ in a recent appearance on the All-In Podcast

ContentsPolitical pressure and regulatory tensionsRelationship with Sam Bankman-FriedFocus shifts to giggle academyChangpeng Zhao explained that the matter was more about a general opposition to crypto than the legal issue

He has characterized the Biden Department of Justice as very aggressive in its style.

Zhao informed host Chamath Palihapitiya that none of the around-the-world exchange executives had ever been sent to prison before his case

He postulated that world banks that had comparable failures to comply with anti-money laundering laws were fined, but there was no jail sentence for executives

He insisted that the government desired a substantial message to be relayed to the crypto community.

In November 2023, Binance accepted a settlement of 4.3 billion to the U.S authorities

Zhao resigned as chief executive and confessed to the failure to have an effective AML program

In 2024, he was sentenced to a four-month federal sentence

In October 2025, he was later pardoned by President Donald Trump.

According to Zhao, errors were committed at the time of the rapid growth of Binance

But he proposed the indictment as a broader policy position on digital property

Since the 2025 change of administration, the U.S. Securities and Exchange Commission put digital assets on its list of 2026 examination priorities.

Political pressure and regulatory tensions

This prosecution was described by Zhao as a wider political context

He explained that the DOJ pursuit looked like it was stronger than any other financial enforcement action done in the past

According to him, the case was an indication of the beginning of tensions between the crypto industry and the regulators at the time.

Binance now works under higher regulation. Monitors, such as Sullivan and Cromwell, are U.S. appointed to oversee compliance processes

Zhao is the majority shareholder but does not participate in the day-to-day management.

He acts as an inactive advisor in case Richard Teng runs the company.

Zhao stated that Binance is better in its present form

According to him, there is an improvement in the governance and compliance systems since the settlement

The trade is still being conducted with greater regulatory oversight internationally.

Relationship with Sam Bankman-Fried

Zhao also commented on his former relationship with Sam Bankman-Fried. In 2019, Binance made an early investment in FTX after the two met

According to Zhao, the relationship had gotten worse later because of the poaching of employees and lobbying efforts in Washington.

He said that Bankman-Fried wanted policies that would restrict the access of Binance to the American market

In November 2022, Zhao refuted claims that his declaration to sell the FTT holdings at Binance was aimed at causing the collapse of FTX

He told me that he was not informed about the supposed misappropriation of customer funds at FTX.

Bankman-Fried has a 25-year federal prison sentence. Most creditors to FTX have been paid off, as indicated by recent bankruptcy filings

The increase in asset values was greater in 2025 and 2026, which enhanced recovery results.

Focus shifts to giggle academy

After his pardon, Zhao has turned to education. He is developing Giggle Academy, an artificial intelligence initiative that will solve the issue of illiteracy in the world

The project is supposed to provide free and game-based learning applications to children in developing nations.

Zhao claimed that he would remain a shareholder in Binance. But now, his attempts in the sphere of making education more accessible are focused on technology.