Following his recent four-month sentence, cryptocurrency exchange Binance founder Changpng Zhao is set to be released from prison this month. Specifically, Zhao will officially be released on September 29th, following his stint in a federal prison in Lompoc, California.
Zhao was officially sentenced in April of this year. Moreover, he faced repercussions for various legal violations while heading the notable cryptocurrency exchange. Now, all eyes are on what his next move will be. Additionally, the market will look to see how his release could affect Binance and its native BNB coin.
Also Read: Binance: Changpeng Zhao Release Could Drive BNB $600
Binance’s Changpeng Zhao to be Released in September as Market Awaits His Next Move
Late last year, one of the crypto market’s most prominent exchanges saw its reputation take a notable hit. The US Department of Justice concluded a years-long investigation into the platform. The result was a $4.3 billion financial penalty for a lack of anti-money laundering protocols and violations of the Bank Secrecy Act.
Binance saw its founder Changpeng Zhao take much of the responsibility, and just four months after he was sentenced to prison, he is facing release. Indeed, the former CEO. known as CZ, struck a deal with the United States. Subsequently, he was granted a far lesser sentence than the three years that prosecutors were seeking.
Source – Binance
Also Read: Changpeng Zhao Binance Exit Revealed to be a Lifetime Ban
Alongside his prison sentence, Zhao was ordered to pay a $50 million fine. Additionally, he was said to have resigned from his position with the exchange. However, earlier this month, current Binance CEO Richard Teng confirmed the misreporting of that fact. Indeed, Zhao was actually given a lifetime ban from ever holding a leadership position at the exchange in the future.
There is the potential that Zhao’s release could be a positive for Binance. Specifically, its BNB token could continue to benefit from the news. Over the last seven days, the crypto has surged more than 8%, according to CoinMarketCap. Moreover, there is the potential for another 15% surge, driving it up from ts current $547 price.