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Binance crypto founder Zhao sentenced to four months in prison

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Changpeng Zhao, Binance founder
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Changpeng Zhao, the former chief executive of Binance, was sentenced on Tuesday to four months in prison after pleading guilty  to violating U.S. laws against money laundering at the world’s largest cryptocurrency exchange.

Once considered the most powerful crypto industry figure, Zhao, known as “CZ,” is the second major crypto boss to be sentenced to prison.
The sentence imposed by U.S. District Judge Richard Jones in Seattle was significantly shorter than the three years sought by prosecutors, and below the maximum 1-1/2 years recommended under federal guidelines.
It was also much lighter than the 25 years behind bars that Sam Bankman-Fried received in March for stealing $8 billion from customers of his now-bankrupt FTX exchange. Bankman-Fried is appealing his conviction and sentence.
Still, prosecutors cheered the outcome of what had been a years-long investigation into Binance and Zhao, a billionaire  who had been living beyond U.S. reach in the United Arab Emirates.

Zhao, who went by the nickname CZ, has also satisfied the requirement of him to pay $50 million in fines, U.S. District Judge Richard Jones said in court Tuesday.

The judge also won’t impose five months of probation as was recommended by the probation officer, Mail Online reports.

The 47-year-old admitted to violating the Bank Secrecy Act by willfully failing to set up an effective anti-money laundering system at Binance, the cryptocurrency exchange he founded and ran as CEO from July 2017 to November 2023.

Binance also pleaded guilty to similar charges from the US Department of Justice in November 2023 and was forced to pay $4.3 billion in fines and restitution for failing to register as a money transmitting business, Forbes reported.

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U.S. prosecutors had urged the court to sentence Zhao to three years in prison after he pleaded guilty to violating laws against money laundering.

They argued that sentencing Zhao to twice the maximum 18 months recommended under federal guidelines would reflect the magnitude of his willful violations, and send a message that would deter others.

A U.S. district court had in March ordered that Zhao must surrender his Canadian passport and notify the court before travelling within the country.

This came after U.S. District Judge, Honorable Richard A. Jones restricted his bond conditions.

The court ordered the businessman to surrender all valid and expired passports, and the documents were to be transferred to someone to be hired by his lawyers who would accompany the Binance founder on all trips where a passport might be needed.

He must also notify the relevant authorities of his movements.

In the case between the U.S. and Zhao as the defendant, the court ruling of March 11, 2024, obtained by SaharaReporters, is as follows: “Defendant must remain in the continental United States through the imposition of sentence.

“Defendant must notify Pretrial Services before any travel within the continental United States.

“Defendant must surrender his current Canadian passport to a third-party custodian employed and supervised by his counsel of record.

“The third-party custodian must retain control over that Canadian passport and must accompany Defendant on any travel that requires identification documents.

“Defendant must surrender all other current and expired passports and travel documents to his counsel of record, who may return those documents to defendant only with authorization from Pretrial Services or the Court.

“Defendant may not apply for or obtain a new passport or travel document from any country without the Court’s permission.”

In November 2023, Zhao pleaded guilty to criminal charges and violating the Bank Secrecy Act. He subsequently agreed to pay a fine and stepped down as the company’s CEO.

Zhao was released on bail of $175 million.

This was part of a $4.3 billion settlement with the Department of Justice, according to court documents.

The plea arrangement with the government followed years of investigation into the dealings of the world’s largest cryptocurrency exchange.

In December, Judge Jones barred Zhao from leaving the U.S. pending a verdict in his case.

In February, the Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, said $26 billion passed through Binance Nigeria from unknown sources and users in one year.

The allegation came amid the free fall of the naira and clampdown on Bureaux de Change by President Bola Tinubu’s administration in an attempt to steady the rapid decline of Nigeria’s currency, naira.

Cardoso said the government was “concerned that certain practices go on that indicate illicit flows going through a number of these entities, and suspicious flows at best”.

The Nigerian government later arrested two Binance executives for alleged money laundering – Tigran Gambaryan, a U.S. citizen and Binance’s head of financial crime compliance, and Nadeem Anjarwalla, a British-Kenyan who is African regional manager for the cryptocurrency trading firm.

Anjarwalla later escaped from detention and fled to Kenya. Meanwhile, their trial has commenced in a Federal High Court in Abuja.

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Thousands begin journey home from Morocco border with Spain

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Spanish soldiers watch migrants sitting on the pavement prior to escorting them back to Morocco, in Spain’s north Africa’s Ceuta enclave on August 1, 2026. At least 67 people have died in a recent surge of migrant crossings from Morocco to Spain’s North African enclave of Ceuta, Spain’s Interior Minister said today. Most of the 60,000 migrants who entered Ceuta over the space of a few days from neighbouring Morocco have already returned to Morocco. (Photo by JORGE GUERRERO / AFP)
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Thousands of people turned back from the Spanish enclave of Ceuta and returned to Morocco’s Fnideq began boarding buses home on Friday, with the operation continuing on Saturday, according to AFP journalists at the scene.

A Moroccan source close to the operation told AFP on condition of anonymity that the people sent back by Spain are to be transported home directly by bus or via the railway station in Tangier, 70 kilometres (45 miles) away.

According to the source, the Fnideq border crossing is now “completely secure”, as are the hills overlooking it, from which hundreds of people, mostly young men, had thrown stones at security forces on Friday.

The Spanish government announced on Friday evening that at least 48,000 of the 60,000 people who entered Ceuta in recent days had returned to Morocco.

Late Friday, AFP journalists saw around twenty 54-person-capacity buses depart, for a total of about a thousand people.

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Fnideq is a small town of just 70,000 inhabitants, roughly equivalent to the population of the enclave of Ceuta, one of Spain’s two North African enclaves.

The buses were headed for Tangier, Tetouan, or the economic capital Casablanca, all equipped with rail facilities to redirect people who had come from as far away as Marrakech, more than 500 kilometres to the south.

“I heard that buses had arrived to take us back home. Honestly, I just want to see my children again. I regret having come all the way here,” said Rachid Aouchari, 32, from Ksar el Kebir, 170 kilometres from Fnideq, who was turned back from Ceuta during the night from Thursday to Friday.

Until midday Friday, clashes had pitted the security forces against migrants seeking to cross into Spain, either by swimming or on foot along a narrow wall leading to the Ceuta crossing point.

Police responded with water cannons and tear gas against hundreds of young men, arresting dozens of them, according to an AFP journalist.

AFP

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US Military F-35B fighter jet crashes, burns

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A fighter jet crashed and erupted into flames at Marine Corps Air Station Miramar in California on Friday, sending smoke billowing into the sky that could be seen from miles away.

The single-seat F-35B Lightning II aircraft from Marine Aircraft Group 11, 3rd Marine Aircraft Wing, went down short of the runway just before 10 a.m. PT.

“The pilot ejected (and) was transported to a local medical facility in stable condition for evaluation and treatment of non-life-threatening injuries,” according to a statement from the wing.

Airport fire crews sprayed the wreckage with firefighting foam and worked to extinguish a grass fire surrounding the crash site.

“F-35 short final crash,” the Miramar air traffic control tower told firefighters in audio recorded by LiveATC.net. “It appeared that the parachute did deploy … and a pilot ejected.”

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The cause of the crash was not immediately clear. Military plane crashes are typically investigated by the military as opposed to civilian crashes which are investigated by the National Transportation Safety Board.

Billed as “the most advanced jet fighter in the world” by its manufacturer, the F-35B is a stealth aircraft that can land like a conventional plane, or vertically, similar to a helicopter. The more than 50-foot-long jet is operated by the US Marines, the United Kingdom and the Italian Air Force. The planes cost about $102 million each, according to the manufacturer.

About 15,000 service members from all branches of the military are based at Marine Corps Air Station Miramar, located in San Diego. (CNN)

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India’s Education Minister resigns

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India’s Education Minister, Dharmendra Pradhan
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India’s Education Minister, Dharmendra Pradhan, has resigned following days of youth-led demonstrations demanding sweeping reforms to the country’s education system.

Thousands of young people had taken to the streets of New Delhi and other parts of the country under the banner of the social media-driven Cockroach Janta Party, mounting pressure on the government to address their demands and remove Pradhan from office.

The protests, which were largely centred around the Jantar Mantar demonstration site in central New Delhi, intensified during the week as demonstrators attempted to march towards parliament.

Police fired tear gas and used batons against some protesters during the demonstrations.

Announcing his decision, Pradhan said the unrest witnessed over the previous 10 days had caused him concern, stressing that remaining in office was not a matter of personal prestige.

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“I am pained to see the events of the past 10 days. This is not a matter of personal prestige for me,” Pradhan said in a statement posted on X.

The minister subsequently confirmed that he had submitted his resignation to the Prime Minister.

“I have sent my resignation letter to the prime minister,” he said in the letter written in Hindi.

Pradhan also acknowledged the importance of young people to India’s development, pledging that their concerns should not be ignored.

“India’s youth power is the real strength of this nation. My resolve is that we will not let the country’s youth get trapped in a vicious cycle of confusion,” he added.

The Indian government had opened negotiations with leaders of the CJP in an attempt to end the demonstrations.

Two rounds of talks were held on Monday and Friday, but the initial negotiations reportedly failed to produce significant progress as the youth-led movement insisted that its demands must be addressed.

The protesters had demanded reforms to the education system alongside Pradhan’s resignation.

The minister announced his resignation ahead of a planned third round of negotiations between government representatives and the protest leaders.

Following Pradhan’s resignation, the CJP announced that its demands had been met after another round of discussions with the government.

The group subsequently called off the protests at Jantar Mantar and other locations.

The demonstrations had attracted thousands of young Indians and gained momentum through social media, putting the government under mounting pressure over the country’s education system.

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