Binance Founder CZ to Serve Four Months in Prison

Posted by

Binance Founder Agrees to AML and KYC Accusation.

Zhao was accused in November of his part in Binance violating the Bank Secrecy Act by failing AML and KYC standards, eventually stepping down as CEO, and concluding a $4.3 billion settlement with US law enforcement. 

Despite facing four months in a US federal prison, the sentence is much shorter than the US Department of Justice’s (DOJ) request of 36 months. 

Before dismissing the lengthy proposal, Judge Richard Jones informed the Seattle hearing that there was “no evidence that the defendant was ever informed” of any criminal behavior within Binance. 

Jones stated, “The court finds the defendant has accepted responsibility. Everything I see about you and your characteristics is mitigating.” 

When the allegations against the world’s largest crypto exchange platform were announced in November, Zhao rushed to Seattle to present himself and admit to violating the Bank Secrecy Act. He was eventually released with a $175 million bond.  

The typical prison sentence for breaking the Bank Secrecy Act is ten years. Zhao drastically lowered this, thanks to his guilty plea and assistance with the inquiry.  

Leave a Reply

Your email address will not be published. Required fields are marked *