CZ was released from a Long Beach halfway house on September 27. He is banned from operating Binance for life.
The richest individual to ever serve a sentence in US prison, Binance’s founder Changpeng ‘CZ’ Zhao, has been released after serving his four-month jail term. The man behind the biggest global crypto exchange by trade volume walked free on September 27, earlier than his release scheduled for September 29.
Since the scheduled date fell on a Sunday, during the weekend, a Federal Bureau of Prisons rule allowed him to receive an early release on Friday. He boarded his private jet right after to visit his family.
CZ and Binance faced legal troubles from the Department of Justice (DoJ) through 2023, with a federal court ordering a massive fine– $4 billion–from Binance in November 2023. CZ’s sentence came in April as the court gave him lenient jail time and ordered a fine of $50 million. Prosecutors propositioned that he be given a three-year jail sentence.
The DoJ brought the suit due to Binance failing to adhere to anti-money laundering regulations, operating without needed money transmitting licenses, and violating sanctions under CZ’s oversight.
He began serving his sentence in June as he voluntarily flew down from Dubai to the US. His jail stint started at the Federal Correctional Institution in Lompoc, California, a minimum-security correctional facility. He was later moved to a halfway house in Long Beach, California, to prepare for release.
What Does CZ Have in Store Next?
As part of his sentencing, CZ is permanently banned from operating or managing Binance. Current Binance CEO Richard Teng has confirmed that the ban is for life. Still, the 47-year-old billionaire holds a massive stake in the exchange, amounting to 90%. With the ban, many in the crypto community wonder what his next moves would resemble.
