Changpeng Zhao, better known as CZ, was released from a US federal prison on September 27, 2024, after serving a four-month sentence for failing to maintain proper anti-money laundering measures at Binance. Following his release, Zhao expressed no interest in returning to his former role as CEO of the cryptocurrency exchange, emphasizing that he has moved beyond that chapter of his life.
Moving On from Binance Leadership
In a recent interview with Bloomberg, Zhao stated, “I don’t think I want to go back. I’ve been leading the company for seven years. I enjoyed it. It’s a lot of work. But I think that chapter is that chapter.” His remarks highlight a conscious decision to step away from the intense responsibilities associated with leading one of the largest cryptocurrency exchanges in the world.
Zhao’s departure from Binance was part of a plea deal he struck in November 2023, where he admitted to facilitating transactions involving illicit funds and violations related to sanctioned countries such as Iran and Cuba. As a consequence, he not only stepped down as CEO but also agreed to pay a $50 million fine. Binance itself faced a staggering penalty of $4.3 billion, marking one of the largest corporate fines for such violations in US history.
Self-Identification as a Shareholder
Despite dropping his CEO title, Zhao still commands a significant ownership stake in Binance, reportedly around 90%. In his conversation with Bloomberg, he commented on various offers he received to sell a portion of his stake but refrained from divulging details about potential buyers or their offers. “I’m happy to review every offer,” he noted, “but so far I haven’t done anything. But, you know, I’m just a regular shareholder at this point.”
Impact of the Presidential Election on Zhao’s Wealth
Following Donald Trump’s win in the recent US presidential election, Zhao’s net worth surged by $12.1 billion, lifting it to an impressive $52.7 billion. The electoral outcome sent US stock market indices soaring and propelled Bitcoin to a new all-time high, showcasing Zhao’s enduring influence in the financial market.
New Ventures: Dives into AI and Education
Post-release, Zhao seems to be redirecting his focus towards investments in artificial intelligence and biotechnology. As he embraces this new role as a passive investor, he has emphasized a long-term investment strategy centered on making a meaningful impact rather than simply pursuing financial gains.
Additionally, Zhao is dedicating significant time to an ambitious educational initiative called Giggle Academy, aimed at providing free basic education for students from grades 1 to 12 worldwide. This project seeks to leverage gamification, adaptive learning, and blockchain technology, dispensing “soul-bound tokens” as rewards for student achievements, all while operating without a traditional revenue model.
Reflections on Time in Prison
At a recent Binance Blockchain Week event, attendees noticed a more subdued and reflective Zhao, who appeared older following his prison experience. Stepping onto the stage at Dubai’s Coca-Cola Arena, he was welcomed with enthusiastic applause, and he retained a sense of charisma throughout his appearance. Zhao took this time to reflect on his personal growth and the challenges he faced during incarceration.
In a lighthearted moment, he recounted how some prison guards recognized him and sought his advice on cryptocurrency investments. “I’m like, I better not pick the wrong coin,” he joked. When asked about the fairness of his sentence, Zhao described it as a highly subjective matter, acknowledging the complexities of the judicial system and the difficult decisions judges must make.