• Advertise with us
  • Pricing
  • Submit News
Instagram Twitter Facebook Telegram Youtube Linkedin
EdaFace Newsfeed
EdaFace Newsfeed EdaFace
  • News
    • Price Analysis

    Main News

    • Crypto News
    • Bitcoin and BTC
    • Altcoin News
    • Security & Hacks
    • ICO & Token Sales
    • Interviews & Profiles

    Information

    • Press Release
    • Research Report
    • Regulations, Law & Policy
    • Community/Guest Post
    • Events & Conferences
    • Tutorials & Guides

    Market

    • Technical Analysis
    • Price Analysis
    • Cryptocurrency Price Prediction
    • DeFi (Decentralized Finance)
    • Mining & Staking

    Other Categories

    • NFTs & Digital Art
    • Opinion & Editorials
    • Tech Innovations
  • Cryptocurrencies
    • Coin Ranking
    • Trending
    • EDA Token
  • Exchanges
    • Spot
    • Derivatives
    • DEX
    • EDA Plantation
  • Verification Centre
    • Rug Pull Check
    • Blockchain Ecosystem
    • EDA Token
  • MarketPlaces
    • NFT Marketplace
    • Digital Literature
    • Digital Mall
    • P2P Market
    • Metaverse
  • EDA Academy
More
  • News
    • Price Analysis
  • Cryptocurrencies
    • Coin Ranking
    • Trending
    • EDA Token
  • Exchanges
    • Spot
    • Derivatives
    • DEX
    • EDA Plantation
  • Verification Centre
    • Rug Pull Check
    • Blockchain Ecosystem
    • EDA Token
  • MarketPlaces
    • NFT Marketplace
    • Digital Literature
    • Digital Mall
    • P2P Market
    • Metaverse
  • EDA Academy
Reading: Binance Founder Says FTX’s $1.7B Lawsuit Doesn’t Belong in US Courts
Share
Sign In
EdaFace Newsfeed
EdaFace Newsfeed EdaFace
EdaFace Newsfeed > Latest News > Crypto News > Binance Founder Says FTX’s $1.7B Lawsuit Doesn’t Belong in US Courts
Crypto News

Binance Founder Says FTX’s $1.7B Lawsuit Doesn’t Belong in US Courts

vitalclick
Last updated: August 6, 2025 7:15 am
6 hours ago
Share
SHARE

Contents
Changpeng Zhao Fires Back At FTX Bankruptcy EstateBinance and FTX Partnership 

Co-founder and former CEO of Binance, Changpeng Zhao, has requested Delaware Bankruptcy Court to dismiss a $1.7 billion recovery lawsuit filed by FTX Trust. He said that the US has no right to come after him over the clawback claim. 

Changpeng Zhao Fires Back At FTX Bankruptcy Estate

The defunct crypto exchange, FTX, filed a suit against Binance and its former CEO in November 2024, to pull back the cash that it claims was improperly moved by Sam Bankman-Fried, before the company collapsed. However, CZ says these claims are nonsensical. 

“The trust and FTX Digital Markets nonsensically blame Zhao and Binance for Bankman-Fried’s pervasive malfeasance,” the filing said. CZ added that he was only a “nominal counterparty” in the transaction, meaning he wasn’t even the main party behind the deal.

CZ’s lawyers also pointed out that U.S. bankruptcy laws don’t definitively cover foreign transfers, especially when the transaction is related to securities contracts that fall under safe harbor protection. 

“The constructive fraud claims also don’t meet legal requirements under safe harbor provisions,” the motion added.

Zhao’s lawyers argued that CZ resides in the United Arab Emirates (UAE) and being a foreign citizen makes him untouchable by the US courts. 

“The claims are so far removed from Delaware, and even the United States, that the statutes at issue, which lack extraterritorial application, do not even apply,” CZ wrote in the filing.

CZ also argues that the entire transaction was offshore, meaning Binance legal entities are incorporated in Ireland, the Cayman Islands, and the British Virgin Islands. Therefore, the US law does not apply to these places, making the entire transaction extraterrestrial. 

“The trust and FTX Digital Markets Ltd. can’t allege facts that Zhao was ‘at home’ under Delaware’s jurisdiction,” CZ’s defence added. 

Binance and FTX Partnership 

Moreover, the filing also points out that Binance and FTX were only “briefly business partners.” CZ said Binance held 20% stakes at FTX, but things ended quickly after some “personal grievances.” 

Two former executives, Samuel Wenjun Lim and Dinghua Xiao, even urged the court in July to dismiss them from the suit. They are calling it a stretch. 

You Might Also Like

Russia Adopts Bitcoin and Ethereum for Oil Trade with BRICS Nations to Evade Sanctions

Judge Dismisses $258 Billion Claim

Price Fails To Capture $2.50 Despite Legal Win

Ripple Price Prediction – How Much Could 1,000 XRP Be Worth in 2026?

Top Analyst Predicts Massive Rally For XRP Toward $9–$24

TAGGED:CryptoNews
Share This Article
Facebook Twitter Email Print
Previous Article In this case of $ 1.76 billion in the eyes of the crypto currency world: Binance founder Zhao took action
Next Article Hard criticism to Bitcoin and crypto currency investors from 40 years of analyst: “You are stupid”
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Crypto Live Widget

Follow for Live Updates
Subscribe to our newslettern

Get Newest Articles Instantly!

- Advertisement -
Ad imageAd image
Popular News
Cryptocurrency Regulation in Russia : Blockchain Development
Current Cryptocurrency Regulations in India
Explore Cryptocurrency Regulation in South Korea
2 Altcoins Win Trial
Claimed Bitcoin Inventor Craig Wright Gets Shocked in Court! His Assets Are Frozen

Company

  • Vision
  • Mission
  • LitePaper
  • Whitepaper
  • Core Values
  • Branding
  • Teams
  • Career Listing
  • FAQ
  • Welfare Donations

Products

  • EDA Token
  • Blockchain Literature
  • EdaFace Dex
  • EdaFace Mall
  • Listing Platforms
  • Newsfeed
  • NFT Marketplace
  • P2P Market
  • Scam Verification Centre
  • School of Crypto

Legal

  • Term of Use
  • Privacy Policy
  • Disclaimer
  • Listing T&C
  • Listing Platforms
  • Eda Token Policy

Always Stay Up to Date

Subscribe to our newsletter to get our newest articles instantly!

EdaFace

About US

EdaFace is a user interface aggregator that brings all the various functionalities of the crypto industry onto a single platform! You can advertise, launch and crowdfund your crypto project via EdaFace Launchpad and Newsfeed.

Contact us: support@edaface.com

Follow us

Instagram Twitter Facebook Telegram Youtube Linkedin

Copyright © 2022 – 2024. EdaFace is a product of Emerging Digital Age (EDA) Pty Ltd. All Rights Reserved.

Join Us!
Subscribe to our newsletter and never miss our latest news, podcasts etc..

Zero spam, Unsubscribe at any time.
EdaFace
Welcome Back!

Sign in to your account

Lost your password?