It has been just revealed the fact that Binance’s CZ will be going to jail, according to the latest reports about the popular exchange and its CEO. Check out the details below.

CZ is going to jail

CFTC Chair, Rostin Behnam, revealed in a recent CNBC interview that he expects former Binance CEO, Changpeng Zhao, to serve jail time after admitting to not maintaining sufficient anti-money laundering procedures for the world’s largest cryptocurrency exchange.

Zhao faces charges from the Commodities Futures Trading Commission (CFTC).

Says Behnam,

“We have over $4 billion in fines on the criminal and civil side. The CFTC, Justice [Department] and The Treasury. Obviously, there’s the criminal side so he will be going to jail.

The sentencing will be taking a bit of time. So I think law enforcement, both criminal and civil, we work together [and] we feel like we got a bad actor here and it’s sending a clear message.”

According to a recent court filing, Zhao, who is a citizen of two other nations, has been deemed by the government as a “serious risk of flight” after he pleaded guilty.

The government argued that Zhao, being a non-U.S. citizen but a citizen of UAE (United Arab Emirates) with significant wealth outside the United States and having minimal ties to the United States, and residing in a country without an extradition treaty with the United States, poses a serious risk of flight.

Therefore, it was requested that he be required to remain in the continental United States until his sentencing, which is scheduled for February 24th of next year.

After considering the government’s arguments, Judge Richard A. Jones ruled that Zhao must stay in the US until his sentencing.

Stay tuned for more details about the matter and other important issues from the crypto space. And make sure to keep your eyes on the market.

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