Binance Founder Changpeng Zhao Bound by Judicial Order to Stay in U.S. Until Prison Sentencing 

Binance founder Changpeng Zhao is now legally obligated to remain in the United States pending his prison sentencing, following a recent guilty plea to charges related to his management of the world’s largest cryptocurrency exchange. 

This mandate was issued by U.S. District Judge Richard Jones in Seattle, marking a pivotal moment in a case that has garnered widespread attention.

Zhao charged with violating U.S economic sanctions

Zhao, who stepped down as CEO of Binance, is facing charges for failing to implement an effective anti-money laundering program and willfully violating U.S. economic sanctions. The charges stem from a comprehensive investigation by the U.S. Department of Justice into Binance’s operations. 

As a part of his bail agreement, the Binance founder, who resides in the United Arab Emirates, a nation without a formal extradition treaty with the U.S., has been released on a $175 million bond and is scheduled for a sentencing hearing on February 23.

Prosecutors have expressed concerns regarding Zhao’s potential flight risk, given his substantial financial resources and residency in a country that does not typically extradite its citizens to the U.S. In response, they have recommended that Zhao be required to stay within the U.S. until his sentencing. 

The court’s decision reflects these concerns, underscoring the gravity of the charges against the Binance founder and the need to ensure his presence for the upcoming legal proceedings before prison sentencing.

How Binance founder pleaded guilty

The guilty plea and subsequent judicial rulings are part of a broader settlement with the Department of Justice, in which Binance has agreed to pay over $4.3 billion. This settlement also includes stipulations for the cryptocurrency exchange to enhance its compliance with U.S. anti-money laundering standards and appoint an independent compliance monitor.

Zhao, who also holds Canadian citizenship, admitted to making mistakes and accepted responsibility for his actions. Under federal guidelines, he faces a prison sentence of 18 months and has agreed not to appeal any sentence up to that length. The Justice Department will determine its recommendation for Zhao’s prison sentencing closer to the scheduled hearing date.