Former Binance CEO Changpeng Zhao (CZ) has filed a motion with a US bankruptcy court to dismiss a $1.76 billion debt claim filed by the FTX bankruptcy estate. Binance Founder Changpeng Zhao Requests Dismissal of FTX's $1.76 Billion Lawsuit In the court petition, Zhao argued that his residence in the United Arab Emirates meant he was outside the jurisdiction of Delaware. The petition also emphasized the international nature of the transactions, stating that US law does not apply to such cross-border situations. “The plaintiffs' allegations of fraudulent transfers unlawfully seek the application of bankruptcy law abroad,” it said. Zhao isn't the first Binance-affiliated figure to question the court's authority in this complex legal process. In July, former Binance executives Samuel Wenjun Lim and Dinghua Xiao also filed similar motions to dismiss the lawsuits. The lawsuit in question was filed by FTX Trust and FTX Digital Markets Ltd. in November 2024. The lawsuit is based on Sam Bankman-Fried's July 2021 share buyback transactions from Binance, alleging that Binance and certain executives improperly transferred funds as a result of these transactions. Bankman-Fried was later convicted on fraud charges that rocked the crypto market. *This is not investment advice. Continue Reading: Binance's Former CEO CZ Files New Request in FTX Case! Details Here
