Binance founder Zhao Changpeng (CZ) sent a letter to the federal judge on December 22 last year, requesting to return to Abu Dhabi for surgery on January 4. He offered the entire equity of Binance US, valued at up to $4.5 billion, as a guarantee for his return. Unexpectedly, his request was rejected.
(Background information:
Binance faces SEC lawsuit, hopes to dismiss the case based on regulatory scope! Judge has not made a decision yet.)
(Brief background:
Binance remains the leading exchange! After settling in the US, it received a net inflow of £4.6 billion, and BNB surged by over 30%, surpassing the increase of BTC.)
Binance exchange and its founder Zhao Changpeng (CZ) reached the largest settlement agreement in the history of the cryptocurrency industry with the US Department of Justice in late November last year. Subsequently, the judge ordered CZ to stay in the US until February 23, 2024, before the ruling, and not return to his residence in the United Arab Emirates (UAE).
Request to return to UAE for surgery was rejected
According to CNBC’s report, CZ’s lawyer actually sent another letter to the federal judge on December 22 last year, requesting CZ to return to Abu Dhabi on January 4 for a period of one to four weeks. This would allow CZ to undergo hospitalization, surgery, and subsequent recovery. Although the specific details of the surgery have not been disclosed, it requires general anesthesia, and CZ needs to rest in the hospital for at least 6 hours after the surgery. The recovery period after the surgery is two weeks.
Furthermore, in order to smoothly return home for the surgery, CZ also pledged all his equity in Binance US as collateral. According to the last round of financing by Binance two years ago, this equity is valued at up to $4.5 billion. The lawyer also promised in the letter that CZ would provide his itinerary and all relevant additional information to the federal court in the Western District of Washington. He would report his situation to the relevant officials immediately upon his return.
Lawyer’s letter to Judge Jones
According to the court records, Judge Jones held a closed-door hearing on this request on December 29. The conclusion was that CZ’s request was denied.
Prior to this request, US prosecutors, citing the possibility of Zhao Changpeng fleeing, requested the judge to restrict CZ’s travel. After more than two weeks of review, the judge believed that CZ should stay in the US until February 23, 2024, as he would face a risk of flight if he left the country. Judge Jones wrote at the time:
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