Binance Founder CZ’s Criminal Sentencing Postponed Until April
The sentencing of Changpeng Zhao, founder of crypto exchange Binance, on money laundering charges has been pushed back two months to April 30th, according to a court notice filed Monday.
No specific reason was provided for the delay. Zhao, better known by his initials “CZ,” pleaded guilty last November to violating U.S. anti-money laundering laws.
Key Details:
- Zhao pleaded guilty in November 2023 for AML compliance failures.
- He initially faced sentencing this month, on February 23rd.
- The sentencing has now been postponed until April 30th.
- The reason for the two-month delay remains unspecified.
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Exact reason for Binance founder’s two month delay unspecified
As part of his November plea deal, Zhao agreed to resign as Binance CEO and pay a $50 million personal fine on top of the company’s record $4.3 billion settlement.
CZ has remained free on a $175 million bond under travel restrictions while assisting prosecutors. However, he could now face a further two-month wait to resolve the criminal case.
U.S. authorities blasted Binance last year for allowing illicit actors to transact freely and enabling criminal activities while flouting regulations. Meanwhile, Zhao could still potentially face over a year in prison when he is ultimately sentenced.
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“Binance was allowing illicit actors to transact freely, supporting activities from child sexual abuse to illegal narcotics to terrorism,” Treasury Secretary Janet Yellen said.
The criminal case against Changpeng Zhao and Binance originated from a years-long investigation into the company’s compliance with U.S. anti-money laundering laws and sanctions policies.
Despite the lawsuit and legal trouble, Binance still stands as the largest cryptocurrency exchange by trading volume. According to the latest data, the exchange has had a trading volume of $17.7 billion.
