The former Binance Holdings Ltd., Changpeng Zhao, has estimated net worth increased by about $25 billion, even though he pleaded guilty to US criminal charges in November and would face a jail term the following year, 2023.
According to the Bloomberg Billionaires Index, Zhao is at the top of the list of cryptocurrency entrepreneurs whose estimated net worth increased in 2023.
This is towards the end of a year in which Bitcoin recovered more than 160% after a market collapse in 2022. Brian Armstrong, the CEO of Coinbase Global Inc., and his twin brothers, Cameron, and Tyler Winklevoss, all saw a billion-dollar boost in their wealth.
Zhao has seen a rise in wealth that is more than five times greater than the $4.3 billion in fines that Binance consented to pay US authorities. His founding of Binance has given him a controlling interest that has contributed to his current estimated net worth of over $37 billion.
Despite significant market share losses this year, Binance has profited from higher trade volumes that coincided with the recovery in the cryptocurrency markets. Although his holdings aren’t shown in the Billionaires Index, Zhao also owns some Bitcoin and Binance’s coin, BNB.
He and Binance entered into a broad settlement with the US in November, allowing the cryptocurrency exchange to go forward, after entering into plea deals for anti-money laundering and violating US sanctions.
Zhao reportedly consented to personally pay a $50 million fine as part of the agreement, which also allowed him to keep his ownership position in the exchange but forced him to resign as CEO.
Zhao looks to have avoided the severe punishments that other well-known crypto criminals have had to endure, but he still faces up to 10 years in prison; under a plea agreement, he is anticipated to serve no more than 18 months.
Zhao is currently unable to return to his home in the United Arab Emirates, according to a decision made late in November by a federal judge in Seattle.
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