The rapper was arrested in July in Los Angeles for allegedly violating California's blood-alcohol limit.
Krayzie Bone was ultimately spared jail time in the case by pleading no contest to driving under the influence, according to TMZ.
The no contest plea allowed for separate unlicensed driving and DUI charges to be dropped.
He will be required to enter an alcohol counselling programme and serve three years of probation.
Krayzie Bone was a long-time member of the popular hip-hop group Bone Thugs-n-Harmony, which had hits with 'The Crossroads' and 'Look Into My Eyes'.
He exited the group in April 2011 amid rumours of internal conflicts.
Watch Bone Thugs-n-Harmony's 'The Crossroads' music video below: