Binance founder and former CEO Changpeng Zhao released from prison

Changpeng Zhao, founder and former CEO of Binance, was released two days early after a four-month prison sentence in the United States.

The 47-year-old was originally scheduled to be released on Sept. 29, but because the date fell on the weekend, federal rules allowed Changpeng Zhao’s early release from the Long Beach Housing Reentry Administration.

The Binance (BNB) founder began his sentence in May 2024 after being accused of failing to properly enforce anti-money laundering and sanctions regulations at Binance.

Zhao received a relatively light sentence compared to the three-year sentence sought by the US Department of Justice.

In November 2023, Zhao and Binance pleaded guilty to violating US anti-money laundering and sanctions regulations. Some of the cases involved facilitating transactions for countries under US sanctions, including Iran and Cuba.

As part of the plea agreement, the US government demanded that Binance pay a $4.3 billion fine, while Zhao personally paid a $50 million fine. He also agreed to step down as the company’s CEO.

The agreement prohibits Zhao from “managing or operating” the company, but specific details remain unclear.

Although reports initially suggested a three-year ban, Binance CEO Richard Teng confirmed in a comment to Axios that Zhao was in fact banned from daily management for life. But he clarified that Zhao still retained all shareholder rights, including the power to nominate board members and replace directors.

Despite his legal troubles and paying billions of dollars in fines, Zhao continues to be among the richest people in 2024. In Forbes’ updated list of billionaires, Zhao ranks 25th overall with a net worth of $60.6 billion.

He is currently one of the richest people among the 17 people from the cryptocurrency industry on the list.