Changpeng Zhao, the esteemed founder of Binance, has been sentenced to four months in prison for breaking US anti-money laundering laws.
This verdict stems from his early admission of guilt regarding charges related to breaches of the Bank Secrecy Act (BSA).
During the hearing, Zhao expressed remorse for his actions and took full accountability for oversights that occurred under his leadership at Binance. He highlighted his current dedication to a noble cause, focusing on establishing an online educational platform for disadvantaged children.
Additionally, Binance has entered into a deferred prosecution agreement due to its failure to register as a Money Services Business (MSB) and to uphold an effective anti-money laundering program.
The four-month sentence falls between the prosecution’s recommendation of three years and the defense’s plea for no jail time. Notably, Zhao’s sentencing stands in stark contrast to the recent 25-year imprisonment of FTX founder Sam Bankman-Fried. Bankman-Fried faced multiple felony charges, including wire fraud, conspiracy to commit fraud, and money laundering, and opted not to plead guilty.