KEY POINTS
- District Judge Richard Jones on Monday stayed a ruling permitting Zhao to travel to his home in the UAE
- Zhao stepped down from his post as Binance CEO last week
- He also gave up his role as the chairman of the Binance.US board
Binance founder Changpeng Zhao (CZ) remained silent on reports that he was prohibited by a court from leaving the U.S. and instead flashed the number "4," the figure he usually uses to denote fake news, attacks and FUD (fear, uncertainty and doubt), below a social media post Tuesday.
Zhao has been under fire since he pleaded guilty to breaking U.S. anti-money laundering laws as part of a $4.3 billion settlement agreement with the Department of Justice and other agencies last week. After he stepped down from his post as CEO of Binance, federal lawyers filed a motion to prevent Zhao from leaving the country.
On Monday, District Judge Richard Jones stayed a ruling permitting Zhao to travel to his home in the United Arab Emirates.
Following this, multiple news outlets reported that the court prohibited the ex-Binance CEO from leaving the U.S. before his sentencing. Serbia's consul to Singapore Calvin Cheng labeles this incorrect. "The judge stayed the ruling pending a full hearing," Cheng wrote on X.
Zhao commented below Cheng's post with a high-five emoji and the number 4.
🙏 4
— CZ 🔶 BNB (@cz_binance) November 27, 2023
In legal lingo, the term stay is an action taken by a court to stop a legal proceeding or the actions of a party. It is commonly issued by the court to stop litigation from continuing and is normally only temporary.
"Having considered the briefing, and the files and pleadings herein, the court determines it will review the decision of Magistrate Judge Brian A. Tsuchida permitting the defendant to return to the United Arab Emirates pending sentencing pursuant to the conditions of his appearance bond," the judge's ruling read. "It is ordered that the condition permitting the defendant to return to the UAE pending sentencing is stayed."
The ruling also highlighted that Zhao cannot return to the UAE until the court "resolves the Government's motion for review."
On Tuesday, Binance.US announced Zhao has resigned as chairman of the exchange's board of directors and will transfer his voting rights to a proxy.
We wanted to provide an update to the https://t.co/AZwoBOgsqS community in light of last week’s news regarding CZ and https://t.co/IZwa5M2U8b.
— Binance.US 🇺🇸 (@BinanceUS) November 28, 2023
As you know, https://t.co/AZwoBOgsqS was launched with the express purpose of serving United States customers in accordance with all…
"As CZ transitions to life after Binance, he has decided to step down from his role as Chairman of our Board of Directors and transferred his voting rights through a proxy arrangement, whereby his interest in the company is purely economic and he will no longer be involved in our governance," Binance.US said.
