Former Binance CEO Changpeng Zhao must stay in US for time being, judge says
- Zhao will have to stay in the US until the court considers whether he should remain through his sentencing hearing in February, or be allowed to return to the UAE
- Zhao faces a maximum prison sentence of 18 months under federal guidelines and has agreed not to appeal any sentence up to that length
Former Binance chief Changpeng Zhao must stay in the US for the time being, a federal judge said on Monday, after the founder of the world’s largest cryptocurrency exchange pleaded guilty to violating US anti-money-laundering laws.
Zhao will be required to stay in the United States until the Seattle court considers whether he should remain through his sentencing hearing in February, or if he should be allowed to return to the United Arab Emirates, where he is a citizen.
Zhao, who is also a citizen of Canada, stepped down as CEO of Binance last week after pleading guilty to wilfully causing the exchange to fail to maintain an effective anti-money-laundering programme.
US District Judge Richard Jones in Seattle said he would review whether Zhao should have to stay in the United States after the US government appealed a decision by another judge allowing Zhao to return to the UAE before his February 23 sentencing hearing. Zhao agreed to a US$175 million bond as part of the bail agreement.
Binance Holdings agreed to pay over US$4.3 billion and pleaded guilty to breaking US anti-money-laundering and sanctions laws.
Binance said last week it had worked hard to make the company “safer and even more secure”. Lawyers for Zhao did not immediately respond to a request for comment on Monday.
Last week, Zhao conceded: “I made mistakes, and I must take responsibility.”