On Friday, Changpeng Zhao, commonly known as “CZ,” will emerge as a free man for the first time in months, stepping onto the streets of Long Beach, California, Fortune reports.
Since April, Zhao has been in federal custody after voluntarily returning to the US from Dubai to serve a four-month sentence for failing to implement adequate anti-money laundering controls at Binance, the cryptocurrency exchange he founded. During his time in custody, Zhao spent approximately two months in a minimum-security prison in California before being transferred to a halfway house, where he reportedly participated in supervised excursions, including trips to the movies.
With his legal issues now resolved, Zhao will reenter society with a personal fortune estimated at $60 billion, making him the 25th richest person in the world. Although he did not respond to inquiries about his immediate plans, his lawyer indicated that Zhao would not be available for interviews upon his release. However, it is possible to speculate on his next steps.
Upon his release—two days ahead of his official date due to weekend scheduling—Zhao is expected to be driven to a private jet in Long Beach or Los Angeles. His first destination is likely to be Dubai or Paris, where his children reside with their mother, He Ye, a former romantic partner and current top executive at Binance.
In a 2023 interview with Fortune, Zhao expressed concerns about potentially inheriting neglectful traits from his late father. This suggests that he may prioritize family time post-incarceration, spending time with his sister, mother, and son, all of whom testified in his favor at his sentencing hearing.
Family endorsements played a significant role in persuading the sentencing judge to impose what some consider a lenient five-month sentence. Zhao’s philanthropic commitments also influenced the judge’s decision, with Zhao having expressed intentions to dedicate part of his life to charitable activities.
Before his incarceration, Zhao initiated a project called Giggle Academy, aimed at providing free educational resources to children globally.
“For the next chapter of my life, I want to provide opportunities for others, namely our youth. I’m building a platform to provide high-quality education for underprivileged kids, all around the world, for free,” he stated during his sentencing.
However, Giggle Academy currently appears to be in its infancy, functioning primarily as a website with job listings but lacking detailed plans or funding information.
In addition to family and philanthropy, Zhao may also focus on the cryptocurrency industry that significantly contributed to his wealth and influence. However, his return to this field will come with restrictions: as part of his criminal settlement, he is required to step down as CEO of Binance and refrain from day-to-day activities related to the company. Moreover, Binance will be monitored by external compliance experts appointed by the US government.
Despite these limitations, Binance has shifted its focus away from the US market and toward Asia and offshore operations. Zhao remains the largest shareholder in the company, which could enable him to exert substantial influence over its future direction.
In a statement regarding Zhao’s release, a Binance spokesperson expressed enthusiasm.
“We are delighted that CZ will be home with his family. While he is not managing or operating Binance, we are excited to see what he does next. Since last year, Binance has continued to thrive under the leadership of our current team, surpassing 229 million users globally,” the company stated.
At 47 years old, Zhao is at a prime age for executives, suggesting he has ample opportunity for a significant second act. His ongoing influence in the cryptocurrency and business sectors is anticipated to continue in the years ahead.
