Changpeng Zhao's Attorneys Refute DOJ's Flight Risk Claims

By: Isha Das

Attorneys representing Changpeng Zhao, the founder and former CEO of Binance, have opposed the U.S Department of Justice's claims of his posing a flight risk. Denying the US government's plea that Zhao be restricted from returning to the United Arab Emirates (UAE) where he resides, the attorneys lodged a court filing on November 23 asserting that Zhao poses no risk of flight and firmly reject the notion of his intending to remain in the UAE to avoid sentencing. They also stressed that Zhao has acted responsibly by coming to the U.S from the UAE to resolve his case.

Following Zhao's guilty plea, the U.S prosecutors had requested the court to withhold Zhao's permission to leave the United States owing to his perceived flight risk. They argued that the government may experience challenges ensuring Zhao's return from the UAE if he chose not to make an appearance for his scheduled sentencing in February 2024, given the possibility of an 18-month prison term.

This development follows Zhao agreeing to step down as CEO of Binance after pleading guilty to multiple charges brought by the Department of Justice (DoJ). The arrangement allows Zhao to retain his majority stake in Binance, but bars him from holding any executive position at the cryptocurrency exchange, and it does not affect the existing litigation between Binance and the US Securities and Exchange Commission (SEC).