Changpeng Zhao (CZ), founder of the world’s largest cryptocurrency exchange Binance, reported to a federal prison to begin serving his sentence, according to information published by CNBC on May 31. CZ’s presentation took place in a low-security prison located in Lompoc, California. The former CEO of Binance received a four-month prison sentence.

According to CNBC, the report confirmed information about CZ’s custody in federal prison with his legal team in Latham and Watkins.

In April, in a significant development in the court case involving former Binance CEO Changpeng ‘CZ’ Zhao, Judge Richard Jones ruled in favor of a reduction in prison sentence during the sentencing hearing.

The United States Department of Justice (DOJ) had initially proposed a harsh sentence of 36 months in prison. However, the judge chose to consider the Probation Office’s more lenient recommendation, which suggested an incarceration period of 4 months in prison.

Changpeng Zhao admitted his guilt to a single count of violating the Bank Secrecy Act, which led to his resignation as an advisor to Binance.US. The cryptocurrency community reacted promptly, offering broad support to Zhao. Many family and friends sent letters of support, reinforcing his integrity and contributions to the sector.

It is worth remembering that, after receiving the sentence, Changpeng Zhao commented on his next steps, as well as thanking his supporters. In a recent post on his official X platform account, CZ highlighted that he will serve his sentence and focus on the next chapter of his life. Furthermore, in his statement, the former CEO of Binance stated that the cryptocurrency industry has entered a new phase.

“I would like to thank everyone for their love and support, whether by writing letters, showing support at X, or in any other way. They all mean a lot to me and keep me strong. I will do my time, complete this phase and focus on the next chapter of my life (education). I will continue to be a passive investor (and holder) of crypto. Our industry has entered a new phase. Compliance is super important. The positive side of this entire process is that Binance is under the microscope. And the funds are SAFU. Protect users!” he wrote.


The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing in or trading cryptocurrencies carries a risk of financial loss.


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