Binance seeks to dismiss $1.76B FTX lawsuit, blames SBF for collapse
Binance has filed a motion to dismiss a $1.76 billion lawsuit from the FTX estate, claiming the suit is “legally deficient” and that FTX's collapse resulted from internal misconduct rather than external manipulation. The lawsuit alleges Binance improperly received billions in crypto during a 2021 buyback funded by customer assets, which Binance disputes, asserting FTX was operational for 16 months post-repurchase. The lawsuit also blames former CEO Changpeng Zhao for triggering FTX's collapse with a tweet about liquidating FTT tokens, which Binance defends as based on public information. Binance challenges the court's jurisdiction over foreign entities named in the suit and criticizes the plaintiff's claims as speculative. Binance seeks dismissal of all claims with prejudice. Separately, FTX plans to distribute over $5 billion to creditors starting May 30, with potential total repayments reaching up to $16 billion based on valid claims.
