Binance founder Changpeng “CZ” Zhao’s defense team has asked the court to grant probation as he is a first-time, non-violent offender who committed an offense with no intention to harm anyone. Several factors including the crypto community support appropriately led probation to recommend a modest downward variance, CZ’s attorney claims.

Changpeng “CZ” Zhao Ask For Probation

In a sentencing memorandum submitted on behalf of former Binance CEO Changpeng “CZ” Zhao, attorneys claim Zhao should be sentenced to probation. While US prosecutors seek 36 months of prison sentence in the upcoming sentence hearing on April 30, attorneys cited multiple factors as to why CZ should get probation.

Nature and Circumstances of the Offense: CZ pleaded guilty to only anti-money laundering compliance failure and the government didn’t allege him to any crime involving money laundering, fraud, theft, market manipulation or any unlawful conduct
CZ Personal History and Circumstances Support Lenience: He is devoted to his family, built Binance as a force for positive change, and collaborated with law enforcement to fight crypto crime and track illegal transfers. Changpeng Zhao also committed to charity with humanitarian aid by Binance Charity and took education initiatives.
Zhao Has Shown Extraordinary Acceptance of Responsibility: Probation Office described CZ conduct as “remarkable” and “exceptional” acceptance of responsibility. Voluntarily appeared from a non-extradition country to plead guilty to criminal charges, paid a fine of over $4.3 billion along with personal fine of $150 million, and stepped down as CEO of Binance and related entities.
Precedent and the Need to Avoid Sentencing Disparities Warrant Probation: 18 U.S.C. § 3553(a) strongly favors probation, no similar defendants sentenced to prison term, and the CZ case similar to BitMEX prosecution where defendants served probation.
Harsher Conditions for Noncitizen: CZ will unfairly face harsher conditions if imprisoned as compared to a US citizen, with home confinement in the UAE under a reputable U.S.-based global security firm seems appropriate.
Remaining 18 U.S.C. § 3553(a) Factors Also Support Probation: Deterrence, protection to the public,  needed training or rehabilitation, and seriousness of the offense is invalid.

Zhao’s defense is arguing for probation over prison, which could include home confinement at his home in Abu Dhabi, citing no risk of re-offending.

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CZ Gets Support from the Industry

Crypto community has shown unprecedented support for the release of CZ or a minimal sentence for pleading guilty of violating AML requirements.

The court has received hundreds of letters from CZ family, friends, and colleagues supporting probation for Binance founder Changpeng Zhao. Industry participants also believe the 36-month sentence will be tougher on CZ.

BitMEX co-founder Arthur Hayes and Tron founder Justin Sun supported CZ. Justin Sun said he was deeply touched after reading the letters, especially by Yi He.

Also Read: How To Trade This Week As $9.4 Billion in Crypto Options Set to Expire

The post Binance Founder Changpeng “CZ” Zhao Requests Probation, Gets Unprecedented Support appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am