Penalties, particularly those tied to criminal settlement, are generally non-refundable. | Source: Getty Images
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Key Takeaways
CZ has publicly entertained the idea of a fine refund from the U.S. government.
The disgraced founder said he would reinvest any returned portion of Binance’s $4.3 billion settlement back into America.
However, legal experts have stressed that such refunds are effectively impossible.
Binance founder Changpeng Zhao (CZ) has raised the prospect of the U.S. granting a refund to part of the record-setting $4.3 billion fine the exchange paid authorities last year, telling followers he would reinvest any returned funds back into the country.
The comments came over a year after the disgraced founder was released from custody following a four-month sentence for anti-money-laundering violations.
Although some of CZ’s followers have responded with gratitude, others believe the former founder is simply playing a “long game of diplomacy.”
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Responding on X to a question from blockchain author and commentator Anndy Lian, who asked whether the U.S. might “refund your $4.3 billion since you are pardoned,” Zhao called the issue a “delicate question.”
Zhao wrote: “I appreciate the pardon already. There is a balance in asking for more vs ‘what is fair’ vs appreciate what you got already.”
CZ has floated the idea of returning a refund of his fine to the U.S. | Source: X
He added that if any refund were granted, he intended to invest it on U.S. soil “to show our appreciation,” while clarifying that he has not yet made a formal request.
Lian responded that CZ’s goal to invest back into America was “a good take.”
The Legal Reality
Under his plea deal, Zhao personally paid a $50 million criminal fine, while Binance agreed to forfeit $4.3 billion to settle federal investigations involving the Department of Justice, FinCEN, and the CFTC.
However, although CZ was pardoned, the presidential waiver does not typically unwind monetary penalties already paid.
Penalties, particularly those tied to criminal settlement, are generally final and non-refundable, largely because they have already been transferred to the U.S. Treasury or another government entity.
A pardon also typically does not interfere with corporate settlements already completed, which, in Binance’s case, covered years of alleged compliance failures.
“If money is paid to the government, you can’t get the money back except through a congressional appropriation,” a former clemency lawyer with the Department of Justice told Al Jazeera.
Community Response
The community’s response to CZ’s claims of optimistic “appreciation” has been mixed, with some expressing that CZ’s comments sounded like a PR move.
One X user said: “Sounds like he’s playing long game diplomacy.”
Another wrote: “Convenient timing for a pr move when everything’s bleeding out. Curious what ‘reinvest’ actually means tho.”
“Cute gesture, but you can’t buy your way out of surveillance when everything’s transparent anyway,” said another.
Another X user said? “Who else thinks the $4.3B was the cost of the Pardon? 😅”
However, some of CZ’s followers did continue to express gratitude.
“That’s very thoughtful of you. Yeah, investing it in America if they refund the money is not a bad idea at all,” one said.
CZ Pushes Back on X Endorsements
Last week, CZ cautioned his millions of followers against interpreting his social-media activity as a signal of credibility.
The comments followed reports that some users were buying and selling X accounts, in some cases for thousands of dollars.
“Don’t buy handles that I follow. I will unfollow any sold accounts,” Zhao wrote on X, adding that he follows accounts “randomly.”
He stressed: “My follow means nothing, not endorsement.”
Don't buy handles that I follow. I will unfollow any sold accounts. If you see an account for sale, let me know. DM, tweet, notify "interns".
I follow accounts "randomly", usually supportive, informative, positive energy people.
The warning came after an X user posted that, at the height of the 2022 bull market, accounts followed by Zhao could sell for between $3,000 and $20,000 in USDT.
Some buyers reportedly acquired “CZ-followed” profiles only to be unfollowed shortly afterward when Zhao discovered the growing market.
While some participants saw the trade as a status-seeking novelty, others used it for more malicious purposes.
According to the user’s account, criminal groups had begun purchasing these “CZ-follow” profiles to promote crypto scams and rug-pull operations by leveraging Zhao’s reputation for legitimacy.
“That’s the really detestable part,” the post said, adding that Zhao’s recent wave of unfollowing was “the right move.”
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
