The founder and former CEO of Binance, Changpeng Zhao, has faced a rather surprising turn of events for his ongoing prison stay. Indeed, the man who helped build the largest cryptocurrency exchange on the planet may see his detention be extended by a month.
Cryptocurrency analyst Colin Wu took to X (formerly Twitter) to discuss the ongoing situation that Zhao is facing. Specifically, he addressed a changing release date. Under Zhao’s watch, Binance faced a massive financial penalty for several violations in the United States.
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Changpeng Zhao to Stay In Prison a Month Longer Than Many Expected
During the final few months of 2023, the crypto market was hit with a shocking revelation. The market’s leading crypto exchange was served with a $4.3 billion fine from the US Department of Justice for anti-money laundering violations. Moreover, the platform’s longtime CEO was forced to step down.
As a result, Zhao pleaded guilty to the part he played in the violations. Therefore, the former executive was served with a four-month prison sentence in May of this year. Yet, the former Binance founder may see his stay extended, as Changpeng Zhao’s release date may be revised.
According to Wu Blockchain, Zhao won’t be leaving FCI Lompoc II on August 30th. “Rather, his current release date is scheduled for September 29.” The discrepancy is derived from a decision that Zhao and his legal team made.
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The lawyers who worked with Zhao had announced their efforts to get the start time of his sentence delayed. Therefore, he was not able to begin serving his sentence on April 30th, when the court originally ordered. The Binance founder didn’t arrive in prison until almost a month later.
Therefore, the release date was extended another month. The outcome was certainly still favorable for Zhao. Prosecutors had originally sought a prison sentence of three years or more, with his legal team able to get him the reduced sentence.