Changpeng Zhao’s story is truly inspiring. From a teenager working at McDonald's (unlike Trump, who did it for PR) to becoming the founder of the largest cryptocurrency exchange in the world.

Is he a true decentralization advocate or a cunning businessman who learned how to get around the law? Was his prison sentence fair or not? In this article, you'll learn about his rise, business, imprisonment, and interesting facts. There's definitely a lot to learn from Zhao.

Who is Changpeng Zhao?

Changpeng “CZ” Zhao is the founder of Binance, the world's largest cryptocurrency exchange by trading volume.

Zhao served as the CEO of Binance until late 2023, when he pleaded guilty to U.S. anti-money laundering violations and was sentenced to 4 months in prison in April 2024.

Despite this, Changpeng remains a highly influential figure in the crypto industry and even appointed as an adviser to governments.

Changpeng Zhao describes Dubai as a “very pro-crypto” city. Photo: @changpengzhao/Instagram — Changpeng Zhao’s time in Dubai. Source: Instagram

First jobs: from McDonald's to Bloomberg Tradebook

Zhao Changpeng was born in the Jiangsu province of China on February 5, 1977. His father, Shengkai, was a university lecturer.

The country's communist authorities accused him of being a "pro-bourgeoisie intellectual" and sent him into exile in a rural area of the country. When Zhao was 12, all his family moved to Vancouver, Canada.

Binance CEO CZ in childhood. Source: DailyMail

As a teenager, Zhao worked as a volleyball referee, at McDonald's, and at a Chevron petrol station. There, he earned the nickname CZ.

Changpeng Zhao's education was technical. In 1995, he moved to Montreal, Quebec, to study computer science at McGill University. In the final year at university, he got a job at a company that made trading software for the Tokyo Stock Exchange.

Later, Changpeng developed high-frequency trading systems for Bloomberg's Tradebook in New York. However, even Bloomberg couldn't satisfy his ambitions.

In 2005, the future crypto star teamed up with some friends to launch an IT consulting firm, Fusion Systems, and moved to Singapore to establish the company. Fusion Systems was producing some of the fastest high-frequency trading systems for brokers.

In 2013, Zhao became a part of the team that developed Blockchain.info and also served as the Chief Technology Officer at OKCoin. Thus, he gained a strong foundation in programming and finance, and in how cryptocurrency exchanges operate.

How did he learn about Bitcoin?

In 2013, CZ played a late-night poker game with Chinese Bitcoin (BTC) enthusiast Bobby Lee and venture capitalist Ron Cao. They told him about Bitcoin and engaged him to invest 10% of his capital in Bitcoin.

Changpeng decided to explore the new niche at the Bitcoin conference in Las Vegas:

"When I went there, I found that these people were very sincere and hardworking. At that time, a man transferred me some coins to teach me how to use my wallet. After learning, I said I would transfer the coins back to him. He said no, you can keep it and use it to teach someone else. I took a look. It was about $300 dollars. These people have no intention of stealing money or doing wrong things.”

Binance founder Changpeng Zhao (centre), Luke Wagnman (left), co-founder of CoinMarketCap, and Gary Lai, a blockchain investor based in Hong Kong. Source: DailyMail

At the time, Bitcoin hovered around $600. The future founder of Binance decided to sell his house in Shanghai for 1 million dollars to buy Bitcoin. You'd agree, selling property to invest in an asset sounds like a dangerous idea. However, that's exactly how people become successful: they go all-in for their dream.

Astonishing rise of Binance

In 2017, the crypto world was hungry for fast, secure, and accessible exchanges. When Zhao launched Binance, the exchange also released its own token, BNB, and raised $15 million in just a few days. That became the start capital for the exchange.

"Binance" is a portmanteau of "binary" and "finance." Its first slogan was: "Exchange the world."

In only 8 months since launch, it has become the largest exchange in the world. It outpaced competitors like Coinbase and Kraken.

“The idea that a five-year-old startup could mature and operate at the same level as a financial institution that has been around for 200 years was once impossible to fathom,” the owner of Binance once noted, according to Reuters.

Legal issues of Binance and CZ

From the very beginning, whenever Binance opened an office somewhere, that country would soon impose strict regulations on it. This happened in countries like the UK, Japan, Germany, and the Netherlands.

In 2023, Binance and Changpeng Zhao were accused of failing to implement adequate anti-money laundering measures. In such a way, they allowed criminals to make cryptocurrency transfers.

The exchange reportedly processed nearly $900 million worth of transactions with sanctioned groups (Hamas, al-Qaeda, Islamic State) and countries (Iran and Russia).

Attorney General Merrick Garland shared private messages between Binance employees. CZ wrote: "Better to ask for forgiveness than permission." Quite bold, no doubt.

Later, Binance and CZ both pleaded guilty to breaking the Bank Secrecy Act and sanctions laws. In result, they had to pay one of the largest corporate fines in history:

$4.32 billion (fine and confiscation) + $50 million (CZ's personal fine)

Prosecutors demanded a 3-year term for the Binance owner. However, U.S. District Judge Richard Jones sentenced him only to four months in prison. They take into attention his cooperation, first-time offender status, and remorse. CZ also stepped down as CEO and took full responsibility.

“I failed here,” Zhao acknowledged: "I deeply regret my failure, and I am sorry.”

He acted not like a typical official who lies and denies everything to the end, but like a businessman who cares about his own reputation and the reputation of his company. And even the embarrassing headlines like 'Binance Changpeng Zhao sentenced to months' failed to damage them.

The community responded with support. The entire crypto world followed the news when he was sentenced and when he was released.

Changpeng Zhao’s imprisonment

Zhao shared his experience being imprisoned with Farokh Radio:

"My celly had a 30-year sentence for murdering two guys at once. I shared a cell with him for a few weeks. We got on fine."

Changpeng Zhao is showing how many months he is sentenced for. Source: Bitcoin Magazine of X

The Binance founder was centrally monitored by the facility, which refers to prison employees taking special considerations when dealing with an inmate.

"I don't think they treated me very differently," Zhao explained. "All the guys, all the inmates, were actually very nice. I still correspond with a couple friends [from] there. You know, you meet friends everywhere. There's good people everywhere."

The stay in prison made him reimagine his life:

"Health is most important, and second is family. And then it's work and the rest of the stuff. You don't miss the good food. I missed the nice bed a little bit, but I missed my family."

How wealthy is CZ?

Changpeng owns approximately 90% equity stake in Binance. His capital consists of BNB at 98.48% (obviously) and Bitcoin at 1.32%.

Binance founder ranks 24th on Forbes' real-time list of billionaires, making him the 24th richest person in the world. Among crypto figures, he's in first place. Technically, only Satoshi Nakamoto is ahead of him.

Top 10 richest people in crypto. Source: Coinsauce

Zhao intends to follow in the footsteps of other wealthy individuals like Warren Buffett and Bill Gates. He stated:

"I plan to donate a substantial amount of my wealth…. My goal is to donate anywhere from 90% to 99%."

Personal life

For now, the Binance owner lives in Dubai. He has Canadian and UAE citizenship.

When it comes to Changpeng Zhao's family, he rarely mentions anything. This is understandable, as there have been increasing cases of kidnapping of family members of crypto magnates.

He met with Yang Weiqing in 1999, and they married in 2003. There are no photos of Changpeng Zhao's wife on the internet. They gave birth to two children and divorced when their eldest daughter was two years old, around 2005.

He Yi has been a fellow Binance co-founder and TV host in the past. She became his second "life partner". They have three children.

According to reports from Fortune, he has homes in Paris, France, and Dubai, United Arab Emirates. However, he prefers the nomadic life. CZ likes wearing simple black t-shirts and sneakers.

What’s further with CZ’s career?

Now, Zhao is focused on personal projects, mentorship, and supporting blockchain startups. In an interview with Colin Wu he shared plans to rebrand Binance Labs and take part in some investment activities:

"What I enjoy most is interacting with early-stage entrepreneurs. Since I'm an entrepreneur myself, I like supporting other founders and focusing on early-stage investments."

He added that his daily schedule is much lighter than before:

"I typically have around 7 or 8 meetings a day and a few phone calls, but now I make time to exercise. I'm really into two sports right now: skiing and kite surfing. My life right now feels more like that of a retired investor compared to when I was running Binance. It's much more relaxed."

7–8 meetings a day. How do you like that, introverts?

Additionally, the Pakistan Ministry of Finance appointed Zhao as a strategic advisor to the Pakistan Crypto Council, and the President of the Kyrgyz Republic, Sadyr Japarov, named him as an advisor on the development of digital assets.

FAQs

Is Changpeng Zhao the richest person in crypto?

Yes, he is the richest person in crypto. Changpeng Zhao’s net worth has reached $64.4 billion in 2025.

What makes CZ's management style unique?

CZ's way of leading was unique because he moved fast, took big risks, and grew Binance worldwide with a small, spread-out team.

On X @cz_binance, he regularly shares thoughts on the market, regulation, and crypto philosophy.

Disclaimer: All materials on this site are for informational purposes only. None of the material should be interpreted as investment advice. Please note that despite the nature of much of the material created and hosted on this website, HODL FM is not a financial reference resource, and the opinions of authors and other contributors are their own and should not be taken as financial advice. If you require advice. HODL FM strongly recommends contacting a qualified industry professional.

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