Seattle, Tuesday, February 20, 2024 – The sentencing of Changpeng Zhao, founder and former CEO of the cryptocurrency exchange Binance, has been postponed until April 30, 2024, according to a notice filed on February 12 in a Seattle federal court.
“The sentencing is continued to 4/30/2024 at 9:00 AM in Courtroom 13106 before Judge Richard A. Jones,” the Notice of Rescheduled Hearing said. 1https://investors.catenaa.com/news/celsius-emerges-strong-while-repaying-over-3-billion-to-creditors-to-exit-bankruptcy/
Zhao, known as “CZ,” pleaded guilty in November 2023 to violating the Bank Secrecy Act related to money laundering activities on the Binance platform. He originally faced a sentencing date of February 23.
The notice announcing the postponement did not specify the reasons for the delay. Neither Zhao’s legal team nor the U.S. Attorney’s Office for the Western District of Washington have commented on the matter so far.
In May 2023, the U.S. Department of Justice charged Zhao and Binance with violating the Bank Secrecy Act by failing to maintain an effective anti-money laundering program.
According to the department, Binance knowingly facilitated transactions for criminals by allowing users to trade anonymously and failing to comply with KYC/AML (Know Your Customer/Anti-Money Laundering) regulations.
As part of a plea agreement, Zhao accepted responsibility for the Bank Secrecy Act violations and agreed to pay a $50 million personal fine and cooperate with the government’s investigation.
Binance also settled with the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) for $1.8 billion.
While Zhao pleaded guilty, his potential sentence remains unclear. He faces up to 18 months in prison, although prosecutors initially suggested they might seek a harsher sentence due to the severity of the violations.
