Ex-Binance Founder Changpeng Zhao Sentenced To 4 Months In Prison For Crypto Crimes


Blockchain and cryptocurrency Binance founder and CEO Chinese-born Canadian Changpeng Zhao, also known as CZ, poses during an interview at the technology startups and innovation fair in Paris on May 16, 2022. (Photo by Eric PIERMONT / AFP) (Photo by ERIC PIERMONT/AFP via Getty Images)
Blockchain and cryptocurrency Binance founder and CEO Chinese-born Canadian Changpeng Zhao, also known as CZ, poses during an interview at the technology startups and innovation fair in Paris on May 16, 2022. (Photo by ERIC PIERMONT/AFP via Getty Images)

OAN’s James Meyers
2:22 PM – Tuesday, April 30, 2024

Changpeng Zhao, the former chief executive of Binance, was sentenced on Tuesday to four months in prison after pleading guilty to violating U.S. money-laundering laws at the world’s largest cryptocurrency exchange. 

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U.S. District Judge Richard Jones made the ruling in Seattle, Washington, while rejecting prosecutor requests for Zhao to serve a 3-year term. 

However, he will not be taken into custody immediately.

This comes after the 47-year-old pleaded guilty to one count of violating the Bank Secrecy Act last November and failing to implement an effective anti-money laundering (AML) program at the exchange.  

“Everything I see about your history and characteristics are of a mitigating nature and a positive nature,” Judge Jones said in the sentencing.

Zhao, who goes by the moniker “CZ,” is not a U.S. citizen, which means that he is not eligible for a minimum security facility. 

“I’m sorry,” the founder told the court, noting that his company has now implemented anti-money laundering controls. “In my mind, I wanted to do everything possible before stepping down as CEO.”

Meanwhile, Binance remains the largest cryptocurrency exchange in the world, with 101 million visitors over the last month and an estimated $10 billion in volume per day. 

In addition, the BNB coin on Binance traded for $556 at the beginning of the trial. Later, once news of Zhao’s sentencing broke out, it increased to $571.

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