Changpeng Zhao, the Binance founder and former CEO, who was incarcerated in the US last year after pleading guilty to violating US laws against money laundering, met Zach Witkoff and two other World Liberty co-founders in Abu Dhabi, according to a photo posted on social media site X on Sunday.
In November 2023, Binance and CZ pleaded guilty to multiple federal charges filed by the U.S. Department of Justice (DOJ), including violations of anti-money laundering laws, operating an unlicensed money transmission platform, and breaching international sanctions.[33] Binance agreed to pay a record $4.3 billion fine, while CZ personally paid $50 million and received a four-month prison sentence.[34]
In June 2023, the SEC said it was suing Binance and Zhao on 13 charges for alleged violations of US securities rules.[153][154] On 12 September 2023, Binance.US announced the resignation of CEO Brian Shroder and a reduction of the exchange's workforce by around 100 positions, roughly one-third of its total staff. Binance.US cited the SEC's civil suit as "an unfortunate example" of the agency's "aggressive attempts to cripple our industry".[155] In October 2023, coinciding with the outbreak of the Gaza war, Binance and Tether were described as a source of terrorist funding by US senator Cynthia Lummis and US Representative French Hill, with a letter calling for the Department of Justice to crack down on the exchange.[156][157]
On 21 November 2023, Binance pled guilty to federal charges, of money laundering, unlicensed money transmitting, and sanctions violations.[158] It was fined $4.3 billion. Zhao agreed to pay a $50 million fine and step down as CEO of the company, but was allowed to maintain his ownership as part of the deal.[159][160] On 31 January 2024, Binance was sued by the US victims of the 2023 Hamas-led attack on Israel, as well as their families, in Manhattan federal court for allegedly facilitating Hamas's terrorist activities by providing a funding mechanism for Hamas. The plaintiffs include released hostages of Hamas and families of victims who were killed in the attack.[161][162][163] In April 2024, Zhao was sentenced to four months in prison after pleading guilty to violating US money laundering laws.[164][165][166] In September 2024, Zhao was released from prison.[167]
