Prosecutors in the United States are calling for Binance founder and former CEO Changpeng Zhao to serve 36 months in prison. In filings at a court on Tuesday, they said Zhao should serve out three years of jail time after pleading guilty to money laundering charges.
Zhao, who resigned as the chief executive officer of Binance last November, also confessed to the accusations of violating the laws of money laundering by the exchange, and Zhao would face a huge fine amounting to $4.32 billion. The deal is set to be ratified on April 30 in Seattle.
Federal sentencing guidelines recommend 18 months of imprisonment. However, prosecutors are demanding more than the usual sentence for Zhao. He committed such big crimes that it messed with the market.
Cz is currently out on $175 million bail and has agreed not to appeal any sentence within federal guidelines. His lawyers have requested for a probation to U.S. District Judge Richard Jones.
U.S. authorities have filed claims that Binance did not report more than 100,000 suspicious transactions dealing with groups of terrorists, including Hamas, al Qaeda, and ISIS. They also state that Binance sanctioned the sale of child sexual abuse content and took a large portion of ransomware payments.
As part of the settlement, CZ agreed to pay a $50 million fine and disassociate himself from Binance, the platform he founded in 2017.
Also Read: Bankman-Fried to Aid Lawsuit Against FTX Celebrity Endorsers
