Judge says CZ can't return to UAE ahead of sentencing, for now

Quick Take

  • Prosecutors had warned that Zhao presented a flight risk, citing his wealth and noting that the UAE has no extradition treaty with the U.S. 

Former Binance CEO Changpeng 'CZ' Zhao will have to stay in the U.S. ahead of his sentencing in February, at least until a further review is conducted. 

Judge Richard Jones of the U.S. District Court for the Western District of Washington in Seattle ordered that a condition that would have allowed Zhao to return to his home in United Arab Emirates before his sentencing be "stayed until such time as this Court resolves the Government’s motion for review," according to a court filing on Monday.

Prosecutors had warned that Zhao presented a flight risk, citing his wealth and noting that the UAE has no extradition treaty with the U.S. 

Guilty plea

Zhao pleaded guilty in a Seattle court on Tuesday to violating, and causing a financial institution to violate, the Bank Secrecy Act. He also agreed to pay a $50 million fine. 

Last week, the U.S. Department of Justice settled a connected case with the world's largest crypto exchange, Binance, which probed into alleged money laundering, fraud and sanctions violations. The crypto exchange will pay a $4.3 billion fine, marking one of the largest corporate settlements in U.S. history.


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About Author

Sarah is a reporter at The Block covering policy, regulation and legal happenings. Before, Sarah was a reporter with CQ Legal writing about securities regulation, which is where she first started reporting on crypto. Sarah has also written for The Bond Buyer and American Banker, among other finance-related publications. She graduated from the University of Missouri and earned a degree in print and digital journalism. Sarah is based in Washington D.C., and is an avid coffee lover. You can follow her on Twitter @ForTheWynn.

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