Binance founder Changpeng Zhao may be released early, as his scheduled release date falls on a weekend Sunday.
In the early hours of September 28, Bloomberg reported that Changpeng Zhao had been released on September 27 (U.S. time), according to inside sources. However, U.S. officials refused to provide specific details about the event, and the former Binance CEO declined to be interviewed by the media.
Binance founder Changpeng Zhao was released from custody Friday after being held for failing to safeguard the world’s largest crypto exchange against money laundering https://t.co/nWtFSo9MAR
— Bloomberg Crypto (@crypto) September 27, 2024
CZ later posted his first update on X (Twitter) since May, marking his official return.
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— CZ 🔶 BNB (@cz_binance) September 28, 2024
The cryptocurrency market reacted somewhat positively to the news of CZ’s release, with Bitcoin rising to $66,500 last night, its highest level since late July.
Since early June, Changpeng Zhao has been serving a 4-month prison sentence for negligence in his management duties at Binance, which led to money laundering activities on the platform. In addition to resigning as CEO, CZ was fined $50 million and banned from holding any management position at Binance for three years. This was part of a settlement between Binance and the U.S. Department of Justice, in which Binance also agreed to pay a record fine of $4.3 billion.
The former Binance CEO was then sent to a detention facility in Long Beach, California, but by late August, he was transferred to a reintegration center to prepare for his release. According to the warden, CZ had a relatively comfortable time there, as he was allowed “short excursions” and “watched movies.”
CZ’s inmate file shows that he was scheduled for release on September 29, which falls on a Sunday. However, Fortune reported that because his release date is on a weekend, Zhao could be released early on September 27.
When asked for an interview, Changpeng Zhao’s lawyer stated that his client does not wish to meet with the media at this time and has not disclosed his future plans.
Despite this, Fortune speculates that CZ will soon return to his residence in Dubai (UAE) to reunite with his family, who had sent letters of clemency and testified to his ethical conduct during his trial.
Back in March 2024, before his sentencing, Changpeng Zhao revealed that he was working on a children’s education project called Giggle Academy.
Regardless of CZ’s future plans, he will have the financial means to pursue them. Under his agreement with U.S. authorities, Changpeng Zhao will retain all of his shares in Binance, which is estimated to be up to 90% ownership of the platform. Forbes estimates CZ’s net worth at $61 billion, making him the 25th richest person in the world.
A Binance representative stated, “We are delighted that CZ will soon reunite with his family. Although he no longer manages or runs Binance, we are eager to see his next plans. Since last year, Binance has continued to grow under new leadership, with global user numbers exceeding 229 million.”
However, in an interview in early September, Binance CEO Richard Teng declared that CZ would never be able to return to Binance, but did not clarify whether this was a new condition imposed by U.S. authorities or an internal policy established by the platform itself.
Regardless of that, CZ’s release remains a highly anticipated event in the crypto community, with many referring to it as a “bullish unlock” moment.
