The founder of Binance, a cryptocurrency firm, Changpeng Zhao, has been sentenced to four months in prison, by US District Judge Richard Jones in Seattle. News About Nigeria reports.
He was sentenced by the US Authorities on Tuesday after pleading guilty to money laundering charges against him.
Recall that Zhao had resigned from his post at the world’s largest cryptocurrency exchange platform late last year as part of a deal with US authorities.
The 47-year-old Canadian, according to investigations, had failed to prevent transactions by movements, including transactions from the Islamic State group, al-Qaeda and the armed wing of Hamas, and those failures had allowed cybercriminals and terrorist groups to freely trade on the world’s largest cryptocurrency exchange.
Zhao, however, pleaded guilty to violating the US anti-money laundering laws and Binance agreed in February to pay $4.3 billion to settle charges.
The prosecutors had prayed the court to impose three years behind bars to make an example out of Zhao to others to steer clear from such activities.
“He made a business decision that violating US law was the best way to attract users, build his company, and line his pockets.
“The sentence in this case will not just send a message to Zhao but also to the world,” Justice Department lawyers said of Zhao in a sentencing memorandum.
Zhao, however, in a post on his handle on X, expressed readiness to serve his term and return to his family in the United Arab Emirates, UAE.
“I will do my time, conclude this phase and focus on the next chapter of my life (education),” he stated.
He added that he will remain a passive investor and holder in crypto.
Justice Jones, while delivering his judgement, stated that he hopes Zhao understands that, despite wealth, power and status, no person is immune from prosecution or above the law.
Binance was created in 2017 in China and cornered much of the crypto-trading market, and its operation have now been moved to other international locations.
