Changpeng "CZ" Zhao, founder and former CEO of Binance, was released from a U.S. federal prison on September 27 after serving a four-month sentence for anti-money laundering (AML) violations. This follows his guilty plea in November, where he admitted to failing to implement proper AML controls at Binance, the largest cryptocurrency exchange by daily trading volume.
During his incarceration, CZ spent two months in a minimum security prison in California before moving to a halfway house in Long Beach. His sentence was significantly reduced from the 36 months originally sought by the Department of Justice, reflecting the seriousness of his offenses.
Following his release, Binance reported over 230 million users globally, asserting that the company has thrived under new leadership during CZ's absence. CZ's net worth is estimated at $60 billion, making him the wealthiest individual to serve a prison sentence in the U.S.
As part of his plea agreement, CZ was fined $50 million, while Binance faced $4.3 billion in penalties for violating U.S. AML laws. Despite these challenges, CZ retains a majority stake in Binance, estimated at 90%.