Binance cofounder and former CEO Changpeng Zhao, who is currently awaiting sentencing for a series of anti-money laundering violations, announced on Monday that he would be launching a new “education project,” promising details to follow. 

With just over a month remaining until his sentencing on April 30, Zhao took to X to tease his plans, stating, “Launching a new project. No, no new tokens. Education project. More details soon…”

Legal Woes

Zhao has largely stayed under the radar since November 2023, when he pleaded guilty to violating the Bank Secrecy Act (BSA) for failing to implement an effective anti-money laundering program at Binance. At the same time, the U.S. Department of Justice (DOJ) announced that Binance Holdings Limited had also pleaded guilty to conspiracy to violate the BSA, failing to register as a money transmitting business, and violating the International Emergency Economic Powers Act (IEEPA). 

As part of the plea, Binance agreed to a historic settlement, paying $4.3 billion in penalties, the largest such settlement involving a corporate entity and its CEO in DOJ history. Additionally, Binance committed to enhancing its compliance measures and agreed to the appointment of an independent monitor to oversee its operations.

 

Zhao was also compelled to step down as CEO and remove himself from Binance’s operations. As part of the conditions for his release on a $175 million bond, he was compelled to surrender his passports and was ordered to remain in the United States pending his sentencing.

However, Binance’s legal challenges are far from over, as the Securities and Exchange Commission (SEC) launched a separate lawsuit last June against the exchange for alleged violations of securities laws. This litigation is still ongoing.

Read more: SEC Is Still Worried About the Security of Binance.US’s Assets, Filings Show