U.S. prosecutors want Changpeng Zhao, the founder and former chief executive of Binance, the world's largest cryptocurrency exchange, to serve three years in prison after he pleaded guilty to violating laws against money laundering. Prosecutors made the request in a Tuesday night filing in Seattle federal court.

They said sentencing Zhao to twice the maximum 18 months recommended under federal guidelines would reflect the magnitude of his willful violations, and send a message that "the right choice, every time, is to comply with the law."

Lawyers for Zhao requested probation. U.S. District Judge Richard Jones is expected to sentence Zhao on April 30.

Once the most powerful figure in the crypto industry, Zhao, 47, stepped down as Binance's chief last November, when he and the exchange admitted to evading anti-money laundering requirements under the Bank Secrecy Act.

Binance agreed to a $4.32 billion criminal penalty.
Prosecutors said Binance, employing a "Wild West" model that welcomed criminals, did not report more than 100,000 suspicious transactions with designated terrorist groups including Hamas, al Qaeda and the Islamic State of Iraq and Syria, or ISIS.

They also said Zhao's platform also supported the sale of child sexual abuse materials and was a recipient of a large portion of ransomware proceeds. "He made a business decision that violating U.S. law was the best way to attract users, build his company, and line his pockets," prosecutors said. In seeking leniency, Zhao's lawyers cited the first-time offender's "unflinching" acceptance of responsibility, his $50 million criminal fine, and that no defendant in a remotely similar case has been imprisoned.

They also said Zhao made Binance an industry leader on compliance, "despite the initial failures that led to this prosecution." Zhao founded Binance in 2017.
He has been free on a $175 million bond, and agreed not to appeal any sentence within federal guidelines.
Binance's penalty included a $1.81 billion criminal fine and $2.51 billion of restitution. Zhao also paid $50 million to the U.S. Commodity Futures Trading Commission, his lawyers said.

The case is U.S. v. Zhao, U.S. District Court, Western District of Washington, No. 23-cr-00179.

kingolu1:
That's a good one, you will never see USA citizen criticizing their Government over this,but somewhere you will see their citizen in a large debate try to make excuse for the victim, there's nothing legit about Binance or any crypto.

jmoore:
Notice the clear difference.

USA went after the founder, while Nigeria is after the workers.

You cannot arrest and prosecute a bank cashier for the actions of a banking institution, you should hold the CEO liable.

The stubborn ignorance of NSA, EFCC, FIRS and other agencies involved in the arrest and prosecution of the binance staff will disgrace Nigeria.

I am laughing at their useless propaganda that the one that escaped has been arrested and will be extradited.

It is only in Nigeria that a police will arrest a relative of a suspect because they could not find the suspect. They used same stupid mindset to kidnap the binance staff.

ozo13:
nop.the one Nigeria caught that escaped is the head of Binance in west and east Africa.Na still Nigerians allow the man to escape probably they were offered some few thousands of dollars

JimohMomoh:
CZ the boss himself. Many years ago when trading of cryptocurrency looked like rocket science, this man made it simple as ABC. Millions of people in Nigeria owe him thanks because he made the 8 years of Buhari's disastrous Government not to affect them.

Instead of running to China to hide, he took a bullet for us and his company Binance not to be liquidated by paying billions of $dollars in fines to SEC.

Everyone make mistakes in life and the mistake you made was opening a branch in the United States and allowing people without KYC to trade on your platform in it's early stage.
Serve your prison sentence in peace and you will come out a world hero.

Osiris12:
Cryptocurrency is something that is based on fraud.

Just like forex trading. A lot them are fraudsters .

Some people go just dey gain anyhow with offering anything of value to the system

jmoore:

Branch manager is not the CEO. You cannot hold a branch manager liable.

OSESUNATE:



You labelling what you know nothing about as fraud shows the level of your ignorance

Osiris12:
Cryptocurrency is something that is based on fraud.

Just like forex trading. A lot them are fraudsters .

Some people go just dey gain anyhow with offering anything of value to the system