Changpeng Zhao, also known as CZ, has commenced a four-month prison term in a low-security federal prison in Lompoc, California, for his involvement in inadequate anti-money laundering measures at Binance, the world's largest cryptocurrency exchange. The sentence follows his guilty plea to violating the Bank Secrecy Act in November 2023. Despite federal investigators seeking a three-year sentence, Zhao received a lighter term of four months in prison along with a $50 million fine. His defense team had requested five months of probation instead. Zhao expressed regret and took responsibility for the failure to implement effective anti-money laundering measures, acknowledging the seriousness of the mistake. As part of a settlement to resolve a US government investigation into Binance, Zhao stepped down as CEO but retains a significant ownership stake in the company. In contrast, FTX's founder, Sam Bankman-Fried, faced a different outcome, receiving a 25-year sentence after being convicted on seven criminal counts related to securities fraud. Bankman-Fried's associates cooperated with journalists, raising concerns about him.