On February 15th, 2024, Binance majority shareholder and former CEO faces sentencing for pleading guilty to violating Federal Laws on Money Laundering
After previously looking at why Binance CEO Changpeng Zhao stepped down, we found that he was forced to step aside as CEO, pay a $4.3 billion fine as well as letting Federal Enforcement have close supervision of the company’s procedures for the next five years. This was all agreed as part of negotiating a plea deal for his admission of guilt.
We now analyze BetOnline’s, one of our top betting sites, betting market: Changpeng “CZ” Zhao Prison Sentence
Changpeng “CZ” Zhao – Prison Sentence
There are four options for bettors as below:
- No Prison Time – (-500)
- Under 18 months – (+300)
- Over 18 months – (+500)
- Exactly 18 months – (+600)
Why Is He Forced to Stay in The United States?
For the felony crime that Changpeng Zhao has been found guilty of, his bail conditions mean he cannot return to the Middle East until after sentencing.
US District Judge, Richard Jones turned down the Billionaire’s request despite his guilty plea at the November trial, so logically he can apply a custodial sentence for the white-collar crimes. Interestingly, and originally, the judge was going to allow bail conditions so Zhao could return home to Dubai and spend time with his partner and their three children. It is thought, his strong ties with the government of the United Arab Emirates counted against him as the Judge had a change of heart, understandably so, given the United Arab Emirates has no legal extradition agreements making Zhao a potential flight-risk.
What Sort of Prison Sentence Can Be Applied?
The former Binance Chief Executive theoretically could face a maximum prison term of 10 years. With the forty-six-year-old pleading guilty to the serious charges, he must be expected to avoid that.
Experts say that only the penalties enforced on Binance were set in law, meaning Zhao’s fate remains undecided. Under Federal Sentencing Guidelines Changpeng faces anywhere up to 18 months but the Department of Justice (DOJ) could put a potential spanner in the works by requesting more prison time.
Obviously, BetOnline (find out more with our BetOnline Review) has set their market fairly from this around 18 months and is potentially swayed by the deal that seems to have been struck for their favorite pick of “No Prison Time”. One can assume, that Changpeng has kept his end of the bargain by staying in the States since the Trial, so if the DOJ imposed any sentence of more than 18 months, it would be a shock.
Will Justice Want to Make an Example Out Of Changpeng Zhao?
Sentencing depends on this question in our opinion, relying on the perspective held by Authority. It’s not an easy one because the question could have several levels:
Changpeng Zhao has kept his end up by pleading guilty and staying in the States, so no need to frown on him in that context.
It’s not that simple though, as the crimes are very serious, and effectively the illegal funds that went through the platform allowed his business to grow into the biggest trading exchange in the process. Of course, being cynical, a few months in prison to keep his business intact, and his net worth of $15 Billion still growing alongside would seem a fair bargain to many.
The other end of the argument is that Binance has become too big during the past few years, with an estimated $7.7 trillion of customer funds. Yes, Zhao was found guilty of letting Organized Crime infiltrate his exchange, but the lion’s share of the funds held in the exchange are legally earned income or savings from private individuals or firms. Meaning confiscating the illegal funds with stiffer penalties is fine, but to do so on a wider scale is untenable for the economy.
So, How Long Will Changpeng Zhao Spend in Prison?
Our conclusion is that both ends of the bargain will be held up and justice will be done. In the process, it is doubtful but not impossible a prison sentence will be sent down to Changpeng Zhao, but we think it will only be a light one so Justice could be served.
While “No Prison Time” is the favorite, the price is very prohibitive, so have a small stake interest on the Under 18 months at (+300) with BetOnline
DWW Pick: Changpeng “CZ” Zhao – Prison Sentence Under 18 Months (+300) at BetOnline
