SEATTLE, WASHINGTON – The former CEO of Binance, Changpeng Zhao, is facing criminal charges brought on by the U.S. Justice Department. The cryptocurrency giant agreed to pay a $4.3 billion penalty for violations related to anti-money laundering and U.S. sanctions. Despite this, Binance will continue to operate, avoiding a more severe punishment.

The charges against Binance include failure to report over 100,000 suspicious transactions with organizations linked to terrorist groups and profiting from allowing “darknet” actors and ransomware hackers to use the platform. Changpeng Zhao, a citizen of Canada and the United Arab Emirates, has agreed to step down as CEO and pay a $50 million fine. He faces a possible 18-month prison sentence under a plea deal.

Zhao has expressed his desire to travel to his home in the UAE before his sentencing, but the U.S. government has raised concerns that he may not return, as there is no extradition treaty with the UAE and the billionaire has significant assets.

The Justice Department recommended that Zhao be detained, but a magistrate judge allowed the Binance founder to leave the U.S. This decision has been contested, with Zhao’s lawyers arguing that he voluntarily accepted responsibility for his actions by coming to the U.S. The Justice Department has asked a U.S. district judge to reverse the bail conditions.

In the meantime, Binance has appointed a new CEO, Richard Teng, to replace Zhao. Teng has stated that his focus will be to collaborate with regulators and reassure users. As for Zhao, he mentioned taking a break after six and a half years of constant work, but his sentencing and presumed jail time remain uncertain.

In summary, Binance and its former CEO, Changpeng Zhao, are facing criminal charges and penalties from the U.S. Justice Department for compliance violations. While Binance will continue to operate, Zhao’s future remains uncertain as he awaits sentencing and possible jail time.