Fortune: Zhao Changpeng will be released from prison early today and may continue to work in cryptocurrencies in the future

On Friday, Zhao Changpeng will take to the streets of Long Beach, California, as a free man for the first time in months. Zhao has been in federal custody since April after agreeing to return to the United States from Dubai to serve a five-month sentence for failing to implement adequate anti-money laundering controls at Binance, the major cryptocurrency exchange he founded. During that time, Zhao served about two months at a minimum-security prison in the California desert before being transferred to a halfway house in Long Beach, where he was allowed supervised outings and even to see a movie, according to a prison official.

Now, Zhao will have more options, returning to society with a personal fortune of about $60 billion (the world's 25th richest person) and his legal troubles behind him. Zhao did not immediately respond to a direct message asking about his plans.

When he is released on Friday, two days before his official release date (prisoners leave prison early if their release date falls on a weekend), he will likely be driven by private jet to Long Beach or Los Angeles. His first stop will likely be Dubai or Paris , where his children live with their mother, He Yi, Zhao’s former lover and a Binance executive.

In a 2023 interview with Fortune, Zhao recalled his brilliant but aloof late father and expressed concern that he had inherited some of his father's neglectful traits. Zhao may decide to make up for lost time after his release from prison by spending more time with his family, including his sister, son, and mother. Their families have all attested to Zhao's character and stood by him at his sentencing this spring.

The family's support helped convince the sentencing judge to accept what some considered a lenient five-month sentence. The judge also praised Zhao's "extraordinary commitment and dedication to global philanthropy."

It remains to be seen to what extent Zhao will translate these philanthropic commitments into concrete activity. Prior to his imprisonment, he launched a project called Giggle Academy, which promised to create free, fun and accessible learning tools for children around the world.

"In the next chapter of my life, I want to provide opportunities for others, our young people. I am building a platform to provide free, high-quality education to underprivileged children around the world," Zhao Changpeng said at the sentencing hearing.

At present, Giggle Academy appears to be little more than a website. The site includes several job postings from a few months ago, but no information related to the project timeline or funding source and scope. However, given Zhao Changpeng's recent situation, this is perhaps not surprising, and more details about Giggle Academy may emerge in the coming months.

Beyond family and philanthropy, the now-free Zhao may turn his attention to a third pursuit: the cryptocurrency industry that made him his fortune and allowed him to dominate for nearly a decade.

However, Zhao Changpeng faces a major problem when it comes to cryptocurrency: Under the terms of the criminal settlement, he must resign as CEO of Binance and stay away from any "day-to-day" activities involving the company. At the same time, the settlement also requires Binance to accept two external monitors imposed by the US government to ensure compliance.

Despite these apparent restrictions, the reality is that Binance no longer operates in the U.S. as it focuses on Asia and offshore markets. Even though Zhao Changpeng is no longer CEO, he remains the company’s largest shareholder, which should give him considerable influence over the company’s future direction.

In response to a request for comment on Zhao’s release, a Binance spokesperson wrote: “We are glad that Changpeng Zhao is returning home to be with his family. While he does not manage or operate Binance, we are excited to see what he does next. Since last year, Binance has continued to thrive under the leadership of our existing team, with over 229 million users worldwide.”

Finally, it’s worth noting that CZ is only 47 years old — an age that is the prime of many executives’ careers, with many just taking on their first CEO roles. All of this suggests that CZ is ready for the second phase of his career, and his influence will be felt in the cryptocurrency and business worlds in the years ahead.