The Chinese-Canadian national Changpeng Zhao (CZ), the founder and former CEO of Binance, the world’s largest cryptocurrency exchange, was released from a correctional facility in California on Friday, September 27, 2024, after serving a four-month sentence25. His release came two days ahead of schedule due to standard practices when release dates fall on weekends.
Background
CZ‘s legal troubles stemmed from violations of U.S. anti-money laundering laws at Binance. The company was accused of:
- Failing to report over 100,000 suspicious transactions linked to terrorist groups2.
- Supporting the sale of child sexual abuse materials2.
- Receiving a large portion of ransomware proceeds2.
In November 2023, CZ pleaded guilty to these charges1. As part of the settlement:
- CZ paid a $50 million criminal fine and an additional $50 million to the U.S. Commodity Futures Trading Commission (CFTC).
- Binance agreed to a $4.32 billion penalty, one of the largest corporate fines in U.S. history.
- CZ stepped down from his role as CEO of Binance3.
Sentencing and Imprisonment
In April 2024, CZ was sentenced to four months in prison, significantly less than the three-year term sought by prosecutors1. He served his time at a low-security facility in Long Beach, California, before being moved to a halfway house where he was allowed supervised daytime outings3.
Post-Release Status
Despite his legal troubles, CZ remains one of the wealthiest individuals in the world, with an estimated net worth of $6.61 billion, according to Forbes. He still holds a 90% stake in Binance, which continues to dominate the global cryptocurrency landscape with over 230 million users worldwide. Following his release, CZ turned to X and thanked his supporters.
CZ had previously hinted at focusing more on family and philanthropy, including a project called Giggle Academy, an online educational platform for underprivileged children4. Binance released a statement expressing their delight that “CZ will be home with his family.”