Changpeng Zhao speaking virtually at Consensus 2022. (Shutterstock/CoinDesk)

Binance Founder Changpeng Zhao to Appear in Court Today for Sentencing

Summary

Binance founder and former CEO Changpeng "CZ" Zhao pleaded guilty to one count of violating the Bank Secrecy Act last November. The charge could carry up to 10 years in prison, but due to his guilty plea and cooperation, the sentencing guidelines suggest about 18 months. The court's Probation Office recommended a five-month sentence. The U.S. Department of Justice asked for a three-year sentence, while Zhao's defense team requested house arrest and probation. Zhao agreed to pay a $50 million fine as part of his plea deal. Binance, the world's largest crypto exchange, also agreed to pay a $4.3 billion fine on the same day Zhao pleaded guilty. Zhao stepped down from the exchange he founded in 2017.