Binance’s founder, Changpeng “CZ” Zhao, was released early from custody on Friday after serving a four-month prison term. His release, a couple of days ahead of schedule, was permitted under federal guidelines that allow for early releases before weekends or holidays.
Zhao’s imprisonment was the result of his admission of guilt to charges linked to breaching anti-money laundering (AML) regulations while he was the CEO of Binance.
Following a 118-day sentence that commenced in April, Zhao completed his term and was required to pay a $50 million fine for failure to establish an effective anti-money laundering program at Binance. Additionally, Binance itself faced a substantial penalty of $4.3 billion, marking one of the most significant settlements in corporate history.
Initially, the U.S. Department of Justice sought a lengthier sentence for Zhao due to supposed deliberate violations of financial laws for personal and corporate benefits. Nevertheless, Zhao’s legal team successfully argued that he had accepted full responsibility for his actions and demonstrated remorse, resulting in a reduced sentence.
While details of his custody conditions remain private due to privacy policies, a spokesperson for the Federal Bureau of Prisons officially confirmed Zhao’s early release.
Stay tuned for further developments on this breaking news story on CoinGape.