Outside Source
Key Takeaways
- Changpeng Zhao will be released from prison on September 29, 2023, after serving a 4-month sentence.
- CZ’s sentence stems from failing to implement effective anti-money laundering measures at Binance.
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Binance founder and former CEO Changpeng “CZ” Zhao is set to be released from Long Beach Residential Reentry Management (RRM) on Sept. 29, according to the US Federal Bureau of Prisons (BOP).
Although the date was already expected, confirmation from BOP only came this morning.
CZ started his 4-month sentence in the Federal Correctional Institution Lompoc, a low-security institution located in California. On Aug. 22, his location on BOP’s website was updated to the Long Beach RRM in central California.
According to the BOP, RRMs “serve as the Federal Bureau of Prisons local liaison with the federal courts, the U.S. Marshals Service, state and local corrections,” assisting inmates whose release dates are close.
Sentenced to four months in prison
The US District Judge Richard Jones, in Seattle, sentenced CZ to four months in prison on Apr. 30 on the charges of allegedly failing to implement an effective anti-money laundering framework, which made Binance a viable platform for cybercriminal and terrorist activities.
The sentence was related to investigations by the US Department of Justice (DOJ) over Zhao’s and Binance’s activities. In November 2023, CZ paid a $50 million fine and stepped down as Binance CEO to end the multiyear investigation. Meanwhile, the exchange endured a $4.3 billion fine.
Moreover, the sentence was far below the three years suggested by prosecutors but also wasn’t the desired outcome by Zhao’s lawyers, who appealed for probation.
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This article first appeared at Crypto Briefing
