Feb 13, 2024 - 00:59
By cnbc.com

Criminal sentencing of Binance founder CZ postponed to late April

The sentencing of former Binance CEO Changpeng Zhao on a money laundering rule charge has been postponed until April 30, a notice in Seattle federal court shows.
Zhao, a resident of the United Arab Emirates who is known as "CZ," is free on a $175 million release bond in the United States.
Zhao pleaded guilty on Nov. 21 to a charge of failure to maintain an effective anti-money laundering program at Binance, the world's largest cryptocurrency exchange, which he founded.

The criminal sentencing of Binance founder Changpeng Zhao on a money laundering rule charge has been postponed until April 30, according to a notice Monday in Seattle federal court.

That docket entry did not explain what would be a two-month delay in sentencing Zhao, a Canadian national widely known as "CZ" who is free on a $175 million release bond in the United States.

Zhao's lawyer, William Burck, declined to comment when asked about the postponement. CNBC has asked the Department of Justice about the delay.

Federal sentencing guidelines suggest a maximum sentence of 18 months in prison for Zhao, but prosecutors reportedly have considered asking for a harsher sentence.

Zhao pleaded guilty on Nov. 21 to a charge of failure to maintain an effective anti-money laundering program at Binance, the world's largest cryptocurrency exchange. As part of that plea, he agreed to step down as Binance's chief executive officer and to pay a $50 million fine.

Binance at the same time agreed to pay $4.3 billion in fines and restitution as part of its guilty plea to conspiracy to conduct an unlicensed money-transmitting business, conducting such a business and violating the International Emergency Economic Powers Act.