Changpeng Zhao, former Binance CEO, has been moved to RRM Long Beach halfway house, not released.
Zhao's release is scheduled for September 29, following a May imprisonment.
Zhao faces a new lawsuit alleging Binance enabled money laundering.
Changpeng Zhao, the former CEO of Binance, has been transferred from the Federal Correctional Institution (FCI) Lompoc II to the RRM Long Beach halfway house in California.
https://twitter.com/RadarHits/status/1826691638032564368 Details About the Transfer
Zhao was initially detained at FCI Lompoc II, a federal prison in California, following his conviction for breaking US anti-money laundering laws. This week, the federal inmate tracker was updated to show that Zhao had been transferred to the RRM Long Beach facility.
The halfway house, technically known as a 'Residential Reentry Management (RRM) field office,' is intended to help offenders nearing the end of their sentences by providing an organized environment for their transition back into society.
There has been persistent confusion about Zhao's release date. Some X users assumed that he was scheduled for release on August 30, which coincided with his April 30 sentencing. However, Zhao was not imprisoned until late May, therefore his term has not yet expired. Zhao has 38 days left on his sentence and is expected to be released on September 29.
Legal Context and Ongoing Supervision
Zhao, who had pleaded guilty to breaking US anti-money laundering regulations, was jailed earlier this year. In addition to standing down as CEO of Binance, Zhao agreed to pay a $50 million penalty, while Binance was fined $4.3 billion. Zhao's plea agreement also includes a three-year ban from running Binance or engaging in similar business operations.
This latest development comes as Zhao faces a new lawsuit filed by crypto traders, who accuse Binance of facilitating money laundering through weak regulations. Despite being moved to a halfway home, Zhao remains under strict monitoring and will serve his sentence until the end of September.
Zhao's transfer to RRM Long Beach has caused much suspicion, but he is still under the jurisdiction of the Bureau of Prisons. Zhao's relocation to a halfway home suggests that his term is nearing its completion, but he has not been released.
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