• Press Releases
    • Submit a press release
    • Read All
  • Contact us
Advertise
Bitcoinist.com
No Result
View All Result
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
        • Ethereum Casinos
        • Solana Casinos
        • LiteCoin Casinos
        • DogeCoin Casinos
        • Live Crypto Casinos
        • New Casinos
        • Instant Withdrawal Casinos
        • Cash App Casinos
        • No KYC Casinos
        • VPN Casinos
        • Offshore Casinos
          • Crypto Casinos IT
          • Crypto Casinos ES
            • All Guides
          • Crypto Casinos JP
          • Crypto Casinos SG
          • Crypto Casinos MY
          • Crypto Casinos KR
          • No GAMSTOP Casinos in UK
          • No Cruks Casinos NL
      • Crypto Betting
        • No ID sportsbooks
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
        • Aviator Sites
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Breaking News: FTX Trust Sues Genesis To Recover $1 Billion Allegedly Misappropriated By SBF
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
        • Ethereum Casinos
        • Solana Casinos
        • LiteCoin Casinos
        • DogeCoin Casinos
        • Live Crypto Casinos
        • New Casinos
        • Instant Withdrawal Casinos
        • Cash App Casinos
        • No KYC Casinos
        • VPN Casinos
        • Offshore Casinos
          • Crypto Casinos IT
          • Crypto Casinos ES
            • All Guides
          • Crypto Casinos JP
          • Crypto Casinos SG
          • Crypto Casinos MY
          • Crypto Casinos KR
          • No GAMSTOP Casinos in UK
          • No Cruks Casinos NL
      • Crypto Betting
        • No ID sportsbooks
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
        • Aviator Sites
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Bitcoinist.com
No Result
View All Result
Breaking News: FTX Trust Sues Genesis To Recover $1 Billion Allegedly Misappropriated By SBF
crypto, crypto exchange, Bitcoin, FTX

FTX Files $1.8 Billion Lawsuit Against Binance And Former CEO Changpeng Zhao

Rubmar Garcia
by Rubmar Garcia
10 months ago
·
Posted in Crypto News
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

The estate of bankrupt crypto exchange FTX filed a lawsuit against Binance and its former CEO, Changpeng Zhao, for alleged fraudulent transfers and starting a campaign to “destroy” its competitor. The $1.8 billion legal action follows another 23 lawsuits filed last Friday to claw back part of the ill-spent funds.

Related Reading: Cardano Founder Reveals New Details About His Potential Role Under Trump

Binance Hit With $1.8 Billion Lawsuit

On Sunday, FTX filed a lawsuit in the US Bankruptcy Court for the District of Delaware, suing global crypto exchange Binance and its former CEO Changpeng Zhao and seeking to recover $1.76 billion in creditors’ funds.

According to the court document, the exchange’s bankruptcy estate argues that FTX’s stake repurchase deal, led by its co-founder and former CEO, Sam Bankman-Fried, using its sister company, Alameda Research, was fraudulent.

Between 2019 and 2020, Binance acquired a 20% stake in FTX International and an 18.4% stake in its US-based unit, becoming the exchange’s second-largest shareholder. However, in July 2021, Bankman-Fried, also known as SBF, paid $1.76 billion to repurchase the stock with a mix of the bankrupt exchange’s FTT token, Binance Coin (BNB), and Binance USD (BUSD).

FTX’s estate claims that the exchange and its sister company “may have been insolvent from inception and certainly were balance-sheet insolvent by early 2021,” making the repurchase deal fraudulent.

FTX

FTX claims fraudulent transfer due to insolvency. Source: Sunil on X

Moreover, the filling adds that the now-incarcerated Caroline Ellison, the former CEO of Alameda Research, previously testified that the repurchase deal was done with customer deposits. Ellison, a key witness in SBF’s prosecution, revealed that Bankman-Fried went through with the deal to conceal the company’s insolvency.

CZ And Binance’s Alleged Campaign Against FTX

The lawsuit accused Binance’s co-founder and former CEO, Changpeng Zhao, of orchestrating a “campaign to destroy FTX.” The document alleges that Zhao posted a series of “false, misleading, and fraudulent tweets” to turn customers against the now-bankrupt exchange.

Additionally, the estate claims that CZ and Binance engaged in “maliciously calculated” efforts, with “months-long coordinated FUD” to attack FTX in 2022.

Per the document, Binance’s former CEO’s tweets on November 6, 2022, aggravated the exchange’s withdrawal situation. Zhao announced that Binance would sell all its FTT tokens, worth $529 million at the time, following the “recent revelations that came to light,” causing a rise in withdrawals.

FTX

CZ's X thread on Nov. 6, 2022. Source: Sunil on X

The lawsuit argues that Binance’s public sale of its FTT tokens was not done in a way that “would minimize the market impact.” Instead, it claims that Zhao announced its selling plans to “maximize the PR impact of it” and “increase Binance’s market share.”

However, a Binance spokesperson told Bloomberg that the claims are “meritless” and the exchange will “vigorously defend” itself.

As reported by Bitcoinist, yesterday’s legal action follows FTX’s 23 lawsuits against different entities to recover the ill-spent funds by SBF ahead of the creditors’ payout, expected to start in the last weeks of 2024.

FTX estate’s recent lawsuits include Singaporean exchange Crypto.com, Mark Zuckerberg-founded immigration and justice advocacy group FWD.US, and Anthony Scaramucci’s hedge fund SkyBridge Capital.

Related Reading: CryptoQuant CEO Predicts Bitcoin’s Next Big Move – And Hope He’s Wrong

FTX, BNC, BNBUSDT

Binance Coin (BNB) trades at $623 in the weekly chart. Source: BNBUSDT on TradingView
Featured Image from Unsplash.com, Chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
ShareTweetShareShare

Sign Up for Our Newsletter!

For updates and exclusive offers enter your email.

I consent to my submitted data being collected and stored.
Rubmar Garcia

Rubmar Garcia

Follow

Rubmar is a crypto enthusiast who likes learning and improving constantly. She enjoys reporting on the latest news and developments in the crypto industry. Rubmar also enjoys scrapbooking, crafting, simulation games, and watching football.

Full Profile

Related Posts

crypto

Australia Cracks The Whip: Crypto Exchanges Face Tough New Rules

54 minutes ago
Best Altcoins to Buy as BNB to Slash Fees Amidst Aster Trading Chaos

Best Altcoins to Buy as BNB to Slash Fees Amidst Aster Trading Chaos

56 minutes ago
US Senate to Discuss Crypto Taxation on October 1: Good for Altcoins like Best Wallet Token

US Senate to Discuss Crypto Taxation on October 1: Good for Altcoins like Best Wallet Token

3 hours ago
ASTER

Is ASTER The Next Big Thing? Exploring The Crypto’s 2,000% Surge And Binance Ties

4 hours ago
Bitcoin Hyper Presale Breaks $18M While Bitcoin Core v30 Upgrade Divides the Community

Bitcoin Hyper Presale Breaks $18M While Bitcoin Core v30 Upgrade Divides the Community

4 hours ago
Bitcoin Hyper ($HYPER) Live News Today: Latest Insights for Bitcoin Maxis (September 25)

Bitcoin Hyper ($HYPER) Live News Today: Latest Insights for Bitcoin Maxis (September 25)

1 hour ago

Premium Sponsors

Press Releases

  • 加密錢包掀起發幣熱潮 Best Wallet...

    1 day ago
  • Bitcoin Hyper

    ChatGPT предсказва следващата 1000x...

    2 days ago
  • Snorter надхвърли $4 милиона след...

    3 days ago
  • ตัวละครสัตว์ Snorter หน้าตลกโผล่พ้นกำแพงอิฐ

    นักลงทุนแห่เข้าซื้อ...

    6 days ago
  • Little Pepe ($LILPEPE) presale crosses $25 million milestone as investors eye exchange listings and meme coin Layer-2 blockchain growth.

    Little Pepe Presale Surges Past $25M as Stage 12 Sells Out...

    1 week ago

Bitcoin news portal providing breaking news, guides, price analysis about decentralized digital money & blockchain technology.

Bitcoin

  • News
  • Price
  • Businesses
  • Acceptance
  • Technology
  • Investment
  • Regulation
  • Reviews

Altcoins

  • News
  • Price
  • Ethereum
  • Ripple
  • Litecoin
  • EOS

Categories

  • Blockchain
  • Security
  • FinTech
  • Technology
  • Trending
  • Breaking News
  • Press Releases
  • How to

About Us

  • Advertise
  • Contact us
  • Editorial Policy
  • Privacy Policy
© 2025 Bitcoinist.com. All Rights Reserved.
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
      • Crypto Betting
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Advertise

© 2025 Bitcoinist. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.