DOJ Seeks Three-Year Sentence for Binance Founder Zhao

The U.S. Department of Justice is seeking a 36-month prison sentence for Changpeng Zhao, the founder and former chief executive of Binance, the world’s largest crypto exchange.

Binance and Zhao pleaded guilty last November to violating anti-money laundering laws and the company agreed to pay a $4.3 billion penalty. Zhao was initially expected to face up to 18 months in jail under his plea deal, but prosecutors said in a court filing late Tuesday that a longer sentence was needed to reflect the scale of his crimes and “deter others who are tempted to build fortunes and business empires by breaking U.S. law.”

Lawyers for Zhao, 47, argued in a separate memo that he should be sentenced to probation instead, with the potential for home confinement in the United Arab Emirates, citing his first-time offender status, remorse, and lack of incarceration for defendants in similar cases. His sentencing is set for April 30 in federal court in Seattle.