Binance and CZ Move to Dismiss FTX’s $1.76B Lawsuit—Another Crypto Legal Circus

Changpeng Zhao’s legal team fires back at FTX’s bankruptcy trustees, calling the $1.76B claim ’legally baseless’—because nothing says ’healthy industry’ like billion-dollar lawsuits between collapsed and surviving exchanges.

The motion alleges FTX’s claims are ’speculative at best’—a polite way of saying someone’s digging for gold in a graveyard. Meanwhile, Binance’s native token barely flinches—because when has existential legal risk ever shaken crypto markets?

This just in: Crypto’s ’too big to fail’ era now comes with pre-packaged litigation. Who needs decentralized finance when you’ve got centralized courtroom drama?

Binance cites lack of jurisdiction, blames FTX for the collapse

Binance’s primary argument rests on the court’s lack of jurisdiction. The exchange noted that all three FTX entities involved are based outside the U.S., specifically in the Cayman Islands and Ireland. Furthermore, Binance contends that these entities were not parties to the repurchase agreements in question.

The filing also asserts that the responsibility for FTX’s downfall lies with its founder, Sam Bankman-Fried. Binance pointed out that the lawsuit itself highlights “pervasive malfeasance,” “ongoing fraud,” and misrepresentation by FTX leadership.