Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Al Mayadeen's correspondent: Two were martyred in an initial toll of the Israeli drone strike that targeted the al-Asira neighborhood in the city of Baalbek, eastern Lebanon
Al Mayadeen's correspondent: An Israeli drone strike targeted the al-Asira neighborhood east of Baalbek, eastern Lebanon
Sheikh Naim Qassem to the pager attack survivors: You are the greatest resistance. Know that 'Israel' will fall because it embodies aggression, crime, and occupation; victory is truly yours
Sheikh Qassem to the pager attack survivors: The value of what you are doing despite your wounds is immense, and here you are, treading the path of the Master of Nation's Martyrs and the leaders
Sheikh Qassem to the pager attack survivors: You are moving forward with insight deeper than sight itself. The enemy sought to eliminate your role in the battle, yet you remain steadfast and continue the fight
Hezbollah Secretary-General Sheikh Naim Qassem to the pager attack survivors one year later: You are healing from your wounds and rising above them. You have successfully passed the test
Palestinian media: Reports of stabbing operation in occupied al-Quds.
Israeli media: Sirens blare in Arava in South, near Ramon Airport.
Egyptian PM Mostafa Madbouli: Egypt is targeted in plans to redraw regional map
AEOI Chief Mohammad Eslami: Our presence in IAEA General Council and fact-checking helped in preventing unilateral rhetoric that aims to portray Iran as an unregulated country

FTX sues Binance and ex-CEO Changpeng Zhao, alleging $1.8Bln in fraud

  • By Al Mayadeen English
  • Source: Agencies
  • 11 Nov 2024 23:13
3 Min Read

The suit alleges that FTX management fraudulently transferred $1.8 billion in funds to Binance and its executives during Binance's exit as an FTX stakeholder.

Listen
  • x
  • The Binance app icon is seen on a smartphone, Tuesday, Feb. 28, 2023, in Marple Township, Pa. (AP)
    The Binance app icon is seen on a smartphone, Tuesday, Feb. 28, 2023, in Marple Township, Pennsylvania, US. (AP)

In the latest chapter of the cryptocurrency industry's escalating legal battles, the now-bankrupt crypto firm FTX has launched a lawsuit against rival exchange Binance and its former CEO Changpeng Zhao, commonly known as CZ.

The suit, filed in Delaware, alleges that FTX management fraudulently transferred $1.8 billion in funds to Binance and its executives during Binance's exit as an FTX stakeholder. FTX estate administrators claim that these funds rightfully belong to FTX creditors and seek to recover $1.76 billion, as well as additional compensatory and punitive damages.

The case centers around Binance's 2019 acquisition of a significant stake in FTX and its subsequent decision to sell back its shares to FTX in 2021. According to the lawsuit, this repurchase was funded by FTX's trading arm, Alameda Research, using tokens valued at $1.76 billion.

FTX now contends that Alameda was insolvent at the time, making the transaction financially improper. By filing this lawsuit, FTX administrators hope to reclaim assets they allege were "wrongfully transferred" at the expense of FTX's creditors.

Binance Responds to Allegations

Related News

Ex-Binance CEO faces prison time in US over money laundering charges

Sam Bankman-Fried to be sentenced for multi-billion FTX fraud today

In response to FTX's claims, Binance has dismissed the allegations as "meritless." A spokesperson from Binance said the company "will vigorously defend" itself, adding that the lawsuit lacks credible evidence of misconduct by Binance and its executives.

The response underscores the tension and rivalry between these two major exchanges, which had previously been seen as potential partners within the cryptocurrency ecosystem.

Read more: Bitcoin hits $80,000 for the first time

The lawsuit adds yet another layer to the FTX-Binance rivalry, which has intensified since FTX's collapse in late 2022. FTX's founder, Sam Bankman-Fried, was subsequently convicted of fraud for misappropriating $8 billion in customer funds and sentenced to 25 years in prison.

Notably, Changpeng Zhao and Binance had briefly explored a rescue acquisition of FTX's non-U.S. unit to stabilize the troubled exchange in 2022, only to withdraw the offer after reviewing FTX's financials, which ultimately exposed a significant shortfall.

Regulatory and Legal Challenges for Cryptocurrency's Major Players

This legal dispute has broader implications for the cryptocurrency industry, as it comes amid increasing scrutiny from global regulators and the judiciary.

Zhao, who recently served a four-month prison sentence after pleading guilty to money laundering violations, is not only facing FTX's allegations but is also facing regulatory challenges in the US  and other jurisdictions.

Experts say that this lawsuit conveys the increasing legal and financial pressures cryptocurrency companies face as governments tighten regulations to address market transparency, investor protections, and anti-money-laundering practices.

  • FTX
  • Changpeng Zhao
  • Binance
  • Cryptocurrency

Most Read

Uprising against Volker Turk at the Human Rights Council over Gaza.

Uprising against Volker Turk at the Human Rights Council over Gaza

  • Politics
  • 12 Sep 2025
A screengrab from the ad played on Fox News. (X Screengrab)

Fox airs ad warning Trump not to let Netanyahu 'play' him on Gaza

  • US & Canada
  • 11 Sep 2025
Lapid: Egypt’s Arab Force plan a 'severe blow' to normalization

Lapid: Egypt’s Arab Force plan a 'severe blow' to normalization

  • Palestine
  • 14 Sep 2025
UKLFI’s latest faux pas, like "Israel’s" recent failed attempt at regime change in Iran, is unambiguously indicative of a flailing entity on the verge of extinction. (Al Mayadeen English; Illustrated by Zeinab el-Hajj)

Zionist lawfare operation facing collapse?

  • Opinion
  • 13 Sep 2025

Coverage

All
The Ummah's Martyrs

Read Next

All
A Hezbollah supporter who lost his sight in a pager attack carried out by "Israel" on Sept. 17, 2024, covers his eyes with a red headband inscribed with the name "Hussein" during Ashoura, July 6, 2025 (AP)
Politics

'We Have Recovered': Lebanon marks 1st anniversary of Pager Attack

The Arab neighborhood of El Za'im, on the outskirts of east Occupied Al-Quds in the West Bank, near where Israeli government says housing units will be built as part of the E1 settlement project, Thursday, August 21, 2025. (AP Photo/Ohad Zwigenberg)
Palestine

'Israel’s' deliberate policies drive West Bank economy toward collapse

Ben & Jerry's ice cream shop, Wednesday, Feb. 26, 2025, in Cambridge, Mass. (AP Photo/Charles Krupa)
Politics

Ben & Jerry’s co-founder resigns over parent company curbing activism

Trump’s approval rating falls to new low in second term: Poll
US & Canada

Trump’s approval rating falls to new low in second term: Poll

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS