In a recent legal development, Binance founder Changpeng “CZ” Zhao faced a setback after a U.S. federal judge denied his request to travel to the United Arab Emirates for a family emergency. Zhao’s offer was rejected despite offering $4.5 billion in Binance equity as security based on Binance’s valuation two years ago.

Meanwhile, the court’s ruling adds another layer to the legal challenge from Zhao, who recently admitted to the failure of Binance’s anti-money laundering (AML) program.

Former Binance CEO Changpeng Zhao’s UAE travel plans canceled

According to a recent filing, Binance founder and former CEO Changpeng Zhao’s request to travel to the United Arab Emirates for “hospitalization and surgery” for someone close to him was denied. Despite his guilty plea and $4.5 billion offer for Binance shares, a federal judge denied his request to travel to the United Arab Emirates for personal reasons, the filing shows. Notably, the valuation of the stake was based on Binance’s funding two years ago, as stated in a Dec. 22 letter to Judge Richard Jones.

Changpeng “CZ” Zhao resigned as CEO of Binance after pleading guilty to anti-money laundering program deficiencies, and is expected to be sentenced on February 23. Although Binance faces a $4.3 billion fine in the same case in November 2023, CZ remains free in the United States on a $175 million release bond.

At the same time, Jones’ denial of Zhao’s travel request is not the first time, given developments since December 2023. Notably, in early December, the judge highlighted that the entrepreneur’s “enormous wealth” was a significant flight risk, as he had significant overseas assets and family connections in the UAE.

The denial of Zhao’s travel request further escalates his legal challenge and highlights the complexity of his position as court scrutiny of his vast wealth and international ties raises concerns about his potential flight risk.

This comes after Zhao pleaded guilty to Binance’s anti-money laundering failures, resulting in the world’s largest cryptocurrency exchange being fined $4.3 billion. Notably, this development had a significant impact on cryptocurrency enthusiasts and financial observers around the world, creating a significant ripple effect.

As the legal saga unfolds, Changpeng Zhao faces obstacles both in his personal life and in the aftermath of Binance’s legal troubles. His travel requests have been denied, exacerbating the tangled legal web surrounding one of the most influential figures in the cryptocurrency space. Now, it is expected that the February verdict will undoubtedly be a pivotal moment in Zhao’s journey, shaping the future landscape of Binance and his standing in the cryptocurrency community.