Topic: CZ Sentenced, Your Bitcoin in their Custody (Read 1074 times)

Yes - even after being sentenced, Shizu still seems to be doing well and her future is still very secure individually. I don't think he'll get into any more trouble once the case is over - but there's still a negative outlook towards him especially because of what's happened to him so far.

I think there are still plenty of developers who would want to hire him for any role in the future - so his finances are probably nothing to worry about. There was a reason why Shizu got a sentence of several months – perhaps her compliance in handling the case and also perhaps being willing to pay the fine.

One thing about this is that if CZ comes out of prison after his time and Binance remain functional by that time, the trust with Binance will increase, people who are planning to see Binance becomes top exchange to lower will be shame and people who might have panic and left Binance would go back and deposit money back into Binance, they will never practice self custody simply because they don't want, if they really want to, they have the means to buy and practice it but the just don't care.

I just hope any exchange doesn't just collapsed again like FTX, it happens between 2022-2023 but it looks like something that happen years ago and many people has moved on but creditors are sideline waiting to get their money back, they should be our significant lesson rather than just using exchange to keep coins that may vanish one day because we don't have power over to the private keys.

I still think it's a good deal for CZ. Different countries have different restrictions for someone who has done time, some stringent, some not so much and some you can clean off after a few years of decent community service.

CZ should also have enough money stashed away that he may not need to look for work as normal people would, and any job he does get will be covert and more of a consultancy role than a financial manager or part of an open board. That will not get so much trust from the public.

I think that jail time, even though it is only 4 months has significant implications. In my country, several restrictions are placed on people with a criminal record.

Seeing that it was a financial crime, he might not be able to get work in a company in a financial capacity or form part of the executive board on certain commitees etc.

There might also be restrictions when it comes to the ownership of a firearm and/or immigrating to certain countries. 

Exactly, some bitcoin investors just suck at doing the safest way to convert their crypto so they use these exchanges to do it and it's much more convenient, and most of the time the risk almost always outweigh the benefit which is the convenience that's why even if you do want to try to tell them and convince them that storing their bitcoins in those hot wallets/centralized exchanges, they won't follow through because they don't mind the risk involved in it.

I'm seeking assistance to build a website and secure funding for my case. I need help from a skilled website builder who has knowledge of Bitcoin-related legal matters. My situation involves a significant injustice where I faced 16 months in prison for merely purchasing Bitcoin and communicating about it through text messages.

Please contact me for more details. The case details are available under United States v. Goklu (1:19-cr-00386) on CourtListener. I am currently appealing this case in the 2nd Circuit.

Here is the Prison ID for comparison: [Prison ID]. My case involves a total of $50,000 across all accounts over 15 years, all of which are legitimate earnings. I have been struggling with a public defender for 5 years.

In addition, I am referencing another individual's case, Chanpeng Zhao, who is also facing legal issues related to Bitcoin and is likely to be imprisoned soon pending appeals.

I am seeking assistance to create a fundraising website specifically for my appeal in the 2nd Circuit, which is one of the top-level U.S. federal courts. This situation feels incredibly unjust, akin to being cursed by drug dealers right at your doorstep, while I am targeted for my Bitcoin holdings.

My case represents a fight against such injustices, unlike other Bitcoin-related cases where individuals have pleaded guilty. I believe my treatment has been disproportionate and unfair, causing significant personal hardship.

Please reach out if you can assist with building the website or providing support for my appeal. Thank you.



adding chanpeng bop id i have same case is in appeal but probaly will be in priosn soon, if those appeals goes thru then those rich btc famous guys all in trouble just withdraw your own wallet is makes you criminal enough to go jail.
here is link that CZ is had sentence already not in custody yet.
my 5 years of court and one year of tracked by FBI all for total 50k capital is complete horro story and killing of justice.

https://www.bop.gov/inmateloc/
CHANGPENG ZHAO
 type name and surname
https://www.courtlistener.com/docket/68026006/united-states-v-zhao/
CZN
goklu btc case
https://www.courtlistener.com/docket/16132225/united-states-v-goklu/?filed_after=&filed_before=&entry_gte=&entry_lte=&order_by=desc
THIS CASE IS ALMOST FIRST GOES TO APPEAL IN ENTIRE UNITED STATES FEDERAL COURTS EVEN CZ ACCEPT GUILTY OFFER LOST HIS CHANCE TO APPEAL.

Well, the risk of loss is higher now that both CZ and Binance exchange got scrutinized by the US government. It's advised to move coins out of Binance just to be safe. If FTX repeats itself, you can say bye-bye to your BTC for good. Self-custody is and will always be the best choice for storing your Bitcoin. The only problem is that you can't trade your BTC without leaving it in the hands of a third party. DEXs are not a solution, especially with their low liquidity and terrible user experience. It's this reason why many people don't bother leaving their coins in centralized exchanges.

At least, CZ got a better deal than SBF himself. He'll be out in no time. If Binance survives, you can expect it to adopt stricter KYC and anti-money laundering policies to please the regulators. This means more pain for everyday crypto traders/users like me. Perhaps, we'll be seeing CZ back in crypto affairs after prison? Only time will tell.

Binance is still by far the best exchange out there, I think it's almost normal that, of course, is the number one target of the governments. I never understood when people was saying that the US would make Binance close, that's exactly the reason they created Binance.us, to avoid any problem with all the crazy US regulations and the SEC, that keeps attacking everything that has to do with cryptos.

We keep all hope alive to reach the top and also bend down to show hard workings for ourselves. Some developing countries have issues with Binance and we've watch where that have led us to. We should always provide means to sort ourselves out because none of us will become very focused when our goals start hitting targets. It still bothers me how Binance is been linked with one problem and another. It have entangled with one problem or the other.

If there is a crime, there should be punishment. If a mistake has been made, there must be a response. Since Bitcoin is not tied to a person or exchange, it will always continue on its way. Such events do not pose a threat to Bitcoin's existence, they just slow down its progress.

There is nothing to worry about and such events can happen at any time. Bitcoin is not weak enough to be affected by such situations. Paying attention to the exchanges you use and how you store your coins is something every investor should do.

It's true that we shouldn't store our assets on centralized exchanges but I don't see any connection between CZ going to jail and storing assets. In addition, comparing FTX with Binance or CZ with SAM is also quite lame, why did FTX collapse, then SAM went to jail and CZ went to jail but binance still dominates the cryptocurrency market? This is really a lame and somewhat unfair comparison for Binance as they always try to do their best and customers are always satisfied with them, while FTX was previously a scammer with a plan.

I'm not defending anyone or encouraging anyone to store their bitcoins on centralized exchanges but we should evaluate things fairly and clearly. By the way, are you sure you're not using binance or any centralized exchange?

Well, I believe that many exchanges are afraid now to avoid suffering the same fate that Binance is suffering at the hands of the Nigerian government, especially the way they abducted their executives in a very shameful manner. Going forward, many exchanges will delist the P2P activities on their system but many will still dare the government and continue to offer such a service. To me, I see P2P as no trouble at all, only that our government is just looking for what to blame as usual. Even if the centralised exchanges stopped the P2P service, what about the decentralised exchanges, will they enforce such a law and instil the same fear in them as well? That will not work because even if they block them through the ISPs in the country which they have a say over, we will definitely switch to VPN usage and it will be business as usual for us all. I will not be a party to the exchanging of my cryptocurrency through the local exchanges as the government wants, that will only amount to extortion even as the government doesn't care about anyone in my country but themselves.

As for the Binance issue with them, well, Binance continues to talk softly about this and claims they are ever cooperative but our government is proving stubborn. They are being stubborn about what they will lose financially entirely upon if care is not taken. The CEO of Binance even graced an interview with PunchNG a few days ago and the guy was brilliant in his remarks. He alleged the government demanded a bribe of $150m from Binance to trash the case, which I believe since this is the way of our government. The Nigerian government is so unwise and I don't see Binance accepting the NGN service anymore, at least until there is a change in government.

I believe it is the same with other fiat currencies. They removed them according to the government's mandate.A lot of traders are actually using the p2p services of binance because of the credibility of the platform. Now, these people need to find alternative trustworthy p2p platforms.
However, I highly believe that binance management is working on complying the regulations of those countries, in prder to get those traders back.

There's no doubt about that. CEXs come and go, but crypto/Blockchain tech persists due to its decentralized design. 50% market dominance still makes a difference. One would hope those numbers decline as new competitors get in the game. The less influence an exchange has over the crypto market, the better. Binance might survive after CZ's departure, though. Only time will tell. As long as they're able to please the regulators, nothing else matters.

All in all, Self-custody is the way to go. Especially with many incidents surrounding centralized exchanges lately. Maybe CEXs will adopt a hybrid model (half decentralized, half centralized) to help increase confidence/trust among traders and investors alike?

We are still saying the same thing and what you explained still means that Binance has issues with Nigeria since the stances and policies of the government make Nigeria and whatever is happening in it or related to it. As for the OKX, I received the news with a heavy heart, but according to the latest meeting with the new SEC's DG, I realised that it has a presence in Nigeria, unlike Binance. And according to the Punch newspaper today, it was one of the stakeholders that joined the virtual meeting with the DG and it was claimed that OKX did not stop the P2P on their platform by force or threat but for solidarity with the government.

But I still wonder what that solidarity is for. Maybe it's because they have a presence in the country and want to obey the law of the land. But I doubt if some of the other exchanges will yield unless they sue them. Let's see how that unfolded over time. However the issue of Binance with the government is far different from that of the OKX with the government, you can't just compare that.

Binance doesn't have any issue with our country. It's just this present administration that has an issue with Binance and cryptocurrencies in general. I believe you would've realized that now and with the OKX thing too. I believe this attitude is likely to spread to many more exchanges. If Binance had an issue with Nigeria, it would've frozen assets belonging to Nigerians on its platform long time ago. Nigerians still can trade their cryptos on Binance till date. It's just that we can't convert to the local naira. That's all. This shows that government was the one that asked Binance to remove the naira pair on its P2P. It's the same naira pair removal thing on OKX.

Surprised he was only jailed for four months, people who have dealt with the same crime for less than the amount involved in this case get years and years, and this is after they have paid their fines too, which I believe ChangPeng did before in hopes of not facing jail time.

In that regard, you're right this goes to show that just keeping your money in exchange wallets are a massive death sentence, we're only able to survive by the skin of our teeth this time because Binance is secured financially and would not lose to bank runs and stuff like these. If it was a different exchange, (as evident with FTX and Sam Bankman-Fried who is jailed for 25 years) we would've been fucked sideways lol.

Anywho, hope this becomes a wakeup call for the newbies and people who are like me once upon a time, die-hard fans of Binance and internet protector of CZ to maybe check and transfer all their assets in their cold wallets.

If I remember correctly, binance's dominance is still over 50% in the market, I don't think they will lose their dominance anytime soon. They are still doing very well compared to other exchanges even though they no longer have CZ. And even if Binance loses its dominance or disappears, there will be another centralized exchange to replace it. Complete elimination of CEX is impossible, and they will increasingly dominate this market as government regulations are enacted. I don't think the idea of a completely decentralized market is possible.

Of course. Decentralization is the way. We can't patronize monopolies in the crypto/Blockchain space. The less power/influence CEXs have over the industry, the better. Binance dominated the market for long with its shady practices. Now it's ultimately paying the price. I don't think it will go away that easily, but we can say its dominance is diminishing by the day. Especially with CZ out of the picture.

I'm yet to see if BNB (powered by BSC) will survive. It's been having a hard time trying to attract new projects into it. Solana and Ethereum are leading the race. If Binance exchange fails, you can say bye-bye to BNB for good. Who knows what surprises we'll find in the future?

Some might have the wrong mindset that it's not safe if it's not in your custody, I agree but that doesn't mean every exchange will manipulate your assets. Some are gently running taking proper precautions to protect funds, they ensure funds are SAFU that's where a new concept like the Reserve Fund derived. Exchanges like Bitget have insured users' assets through another layer of security of the User Protection Fund. Hence it also depends on the factor which exchange are you using and if it's well protected.