Binance, Changpeng Zhao Sued for $200M by British Investors: Reuters
Binance and founder Changpeng “CZ” Zhao are named in a U.K. lawsuit seeking nearly $200 million from about 1,700 claimants. The suit alleges Binance offered complex, high-risk crypto derivatives and leveraged products in late 2019 without U.K. regulatory approval, causing losses for some users. Binance said it remains committed to legal compliance and will defend itself. The case comes after the U.K. Financial Conduct Authority banned crypto derivatives for retail investors in October 2020, with the ban taking effect in January 2021. The FCA still considers cryptoassets high-risk and is reviewing its stance on retail access to derivatives. Binance is also facing regulatory setbacks in Europe. It recently withdrew its MiCA application in Greece after reports it would be denied, and without a MiCA license it cannot offer crypto services in the EU from July 1.
