Changpeng Zhao, the founder of Binance, has been sentenced to four months in prison by a Seattle court for violating United States anti-money laundering and sanctions laws. Despite having a personal fortune estimated at $43 billion, Zhao pleaded guilty to the charges last year.
The sentencing marks a significant downfall for Zhao, who was once the head of the world's largest cryptocurrency exchange. Prosecutors accused Zhao of allowing fraudulent activities to occur to attract users and build his company. The US Government stated that Zhao had bet he would not get caught and that the consequences would not be severe if he did.
In response, Zhao's lawyers argued against a prison sentence, emphasizing his remorse for the harm caused by Binance. Zhao himself apologized for his mistakes and pledged to develop education technology for underprivileged children upon his release.
This sentencing comes shortly after Sam Bankman-Fried, Zhao's rival and former chief executive of FTX, was sentenced to 25 years for a multibillion-dollar fraud.
