Changpeng Zhao Apologizes to Judge, Says There Was No Excuse for His Compliance Failures

The post Changpeng Zhao Apologizes to Judge, Says There Was No Excuse for His Compliance Failures appeared first on Coinpedia Fintech News

Changpeng “CZ” Zhao has openly apologized to the judge in charge of his case, accepting “full responsibility” for his actions that led to regulatory scrutiny.

In a heartfelt letter sent yesterday, CZ expressed remorse over his “poor decisions” and admitted that he failed to put the necessary compliance controls within Binance.

Apology and Responsibility: CZ’s Remorseful Acknowledgment

His apology comes ahead of his sentencing, scheduled for April 30. He faces a potential three-year sentence despite an earlier agreement that capped his potential appeal at 18 months.

CZ’s letter was accompanied by 161 others from family, friends, and colleagues, all advocating for leniency in his sentencing. Jessica Zhao, his sister and a former Morgan Stanley Managing Director, spoke of her brother’s commitment to good, referencing his actions during the FTX crisis to protect customer funds.

Support from All Sides: Personal and Professional Testimonies for CZ

He Yi, mother of CZ’s children and a fellow co-founder of Binance, called CZ the guardian of the cryptocurrency industry. She also pleaded for understanding CZ’s inexperience with managing such a large company as a contributing factor to his oversight failures.

CZ’s wife, Yang Weiqing, discussed his philanthropic efforts, such as Binance’s donation to Japanese disaster areas in 2018. Their children, Rachel and Ryan, both U.S. university students, wrote too, sharing personal stories of CZ as a supportive father, pleading with the judge to consider his character beyond this one incident.

Tigran Gambaryan, Binance’s Head of Financial Crime Compliance, currently detained in Nigeria, also vouched for CZ’s integrity and positive impact on the global community in his letter.

Further backing came from influential figures such as Max S. Baucus, former U.S. Ambassador to China, and academics like Jeremy R. Cooperstock from McGill University and Ronghui Gu from Columbia University.

Contributions were also made by Sean Yang, a Morgan Stanley Managing Director, and members of the ruling family in the United Arab Emirates, all attesting to CZ’s character and contributions to the industry.

In his defense, CZ’s legal team argued that he was unaware of any illegal transactions on Binance and never deliberately facilitated them. They reiterated that Binance faced unprecedented international legal challenges. The defense strongly suggests probation, especially considering CZ is a first-time offender.