Billionaire Changpeng Zhao, co-founder of Binance Holdings Ltd., has pledged to continue investing in blockchain, artificial intelligence (AI), and biotechnology. These were his first public comments since his release from US custody following a $4.3 billion penalty imposed on Binance in November.
Zhao personally paid a $50 million fine and served four months in a California correctional facility, significantly reduced from the 36-month sentence sought by prosecutors.
Zhao’s First Tweet After Prison Is About Crypto Investments
On the social networking platform X, Zhao described himself as a long-term investor who is more concerned with having an impact than generating money.
He unveiled “Giggle Academy,” a nonprofit online learning platform, as one of his new endeavours, and claims it will significantly impact his life. He also intends to put more of an emphasis on charity endeavours.
Since Binance failed to put in place appropriate anti-money laundering (AML) procedures, there were legal problems that resulted in Zhao’s punishment. This made it possible for terrorist organisations and criminals to conduct illegal activities on the network, including transfers of funds from US users to nations under sanctions like Iran.
According to the US Department of Justice (DOJ), Zhao purposefully disregarded the dangers, which resulted in breaking US sanctions and sending money without a licence, Bloomberg reported.
Zhao resigned as CEO of Binance after Binance accepted the plea agreement. Zhao’s permanent prohibition from managing or running Binance has been confirmed by the company’s new CEO, Richard Teng. Despite this, Zhao keeps in touch with important insiders at Binance, such as CEO Tigran Gambaryan and co-founder Yi He, which raises concerns about his power within the organisation.
The Road Ahead for Zhao
As part of the settlement, the DOJ and the Financial Crimes Enforcement Network (FinCEN) of the US Treasury will be monitoring Binance’s compliance for years to come. With an estimated net worth of over $30 billion, Zhao ranks among the wealthiest persons in the world and is most likely the richest person to have spent time in a US prison.
Zhao’s future moves involve additional investments in cutting-edge technology, with a primary focus on biotech, blockchain, and artificial intelligence.
Despite his legal issues and permanent split from Binance, the cryptocurrency mogul seems bent on influencing the future of these industries with his charity and charitable efforts now taking centre stage. While managing continuous regulatory scrutiny and compliance regulations, Binance continues to be a major player in the global digital asset market.