Binance Founder Zhao Released from US Custody, Reports Bloomberg News

Changpeng Zhao, the founder of Binance, has been released from a correctional facility in California, according to reports from Bloomberg News, which cited a spokesperson from the Bureau of Prisons.

Earlier this year, Zhao, who previously served as the CEO of the largest cryptocurrency exchange in the world, was sentenced to four months in prison after pleading guilty to charges related to violations of U.S. money laundering laws.

The Bureau of Prisons could not be reached for immediate comment by news agencies.

Prosecutors outlined that Binance operated a model that was accommodating to criminals, failing to report over 100,000 suspicious transactions linked to known terrorist organizations, including Hamas, al-Qaeda, and the Islamic State.

Additionally, allegations were made that Zhao’s exchange facilitated the distribution of child exploitation materials and processed significant sums related to ransomware attacks.

As part of the settlement, Binance accepted a penalty of $4.32 billion, while Zhao personally paid a criminal fine of $50 million, along with another $50 million to the U.S. Commodity Futures Trading Commission.