See More

Binance’s Changpeng Zhao Seeks to Return Home Before Sentencing

2 mins
Updated by Bary Rahma
Join our Trading Community on Telegram

In Brief

  • Binance's former CEO is involved in a legal case for violating US anti-money laundering laws.
  • Changpeng Zhao seeks permission to return to the UAE before his February 23 sentencing.
  • Despite a $175 million bail bond, the DOJ is concerned about Zhao's potential flight risk.
  • promo

Former Binance CEO Changpeng Zhao is embroiled in legal proceedings for violating anti-money laundering regulations in the United States. He has pleaded with his legal team to return to his home in the United Arab Emirates before his sentencing.

Zhao, who relinquished his CEO position after pleading guilty, faces potential prison time and significant financial penalties.

Binance’s Changpeng Zhao Wants to Go Home

Changpeng Zhao’s counsel has requested US District Judge Richard Jones to uphold the bail conditions authorized by US Magistrate Judge Brian Tsuchida. These conditions would allow Zhao, a UAE and Canadian citizen, to leave the US while he awaits his February 23, 2024, sentencing.

Zhao has complied with a considerable $175 million bail bond as part of his commitment to face the charges.

The Justice Department, however, expressed concerns about Zhao’s potential flight risk. The federal agency emphasized the lack of an extradition treaty between the US and the UAE.

Indeed, prosecutors are pressing to reverse the decision to let Zhao travel abroad. Given his extensive financial resources, they argue that ensuring Zhao’s return for the sentencing might be challenging.

“In the vast majority of cases, a multi-billionaire defendant who has pleaded guilty, faces possible prison time, and lives in a country that does not extradite its citizens to the United States would be detained,” lawyers said.

Still, Zhao’s legal representatives argue that he has demonstrated responsibility by voluntarily appearing in the US. They contend that his return to the UAE would enable him to prepare his family for the upcoming sentencing. Surprisingly, Judge Tsuchida seems to agree.

In a recent filing, Judge Tsuchida argued that Zhao’s actions “speak louder than the worries.” He maintains Zhao had no obligation to go to the US, but he did as his intent was “to resolve this case, not run.”

“Based on all the relevant facts, including Mr. Zhao’s voluntary self-surrender, his intent to resolve this case, and the sizable bail package he proposed, Judge Tsuchida found that Mr. Zhao presents no risk of flight, even while residing in the UAE,” the filing reads.

Changpeng Zhao’s involvement in Binance’s failure to implement an effective anti-money laundering program led to substantial repercussions. US authorities have accused the firm of violating anti-money laundering and sanctions laws, failing to report over 100,000 suspicious transactions, including dealings with entities the US labels as terrorist organizations.

“On that note, I am proud to point out that in our resolutions with the US agencies, they do not allege that Binance misappropriated any user funds, and do not allege that Binance engaged in any market manipulation. Funds are SAFU,” Zhao said.

Read more: 7 Best Binance Alternatives in 2023

As part of a plea agreement, Binance is set to pay over $4.3 billion to the US Commodity Futures Trading Commission. Zhao’s request to return home remains contentious with a potential sentence of up to 18 months in prison looming.

Top crypto projects in the US | April 2024



In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Bary Rahma
Bary Rahman, a talented journalist, graduated from New York University with a degree in Journalism. Skilled in SEO, she has worked with CNN, showcasing her investigative skills and storytelling abilities. In addition to her journalistic accomplishments, Bary has contributed her expertise as a content writer for Binance, crafting insightful articles on the dynamic crypto industry. Her unique fusion of journalism and SEO makes her a versatile and highly respected figure in the industry.