US judge transfers Binance lawsuit to Florida, citing first-to-file rule
A US judge has approved Binance's request to transfer a money laundering case to the Southern District of Florida, citing a similar ongoing case there. The Washington case, filed in August 2024, mirrors a June 2023 Florida lawsuit, both alleging Binance enabled cybercriminals to launder stolen cryptocurrency. Judge Barbara Rothstein noted that while the complaints differ slightly in class descriptions, they target the same group of affected individuals. The first-to-file rule was invoked, which typically allows the first court to retain jurisdiction over similar cases. Plaintiffs in the Washington case argued for its uniqueness due to additional accusations and the inclusion of former CEO Changpeng Zhao as a defendant. However, Rothstein emphasized that transferring the case would enhance efficiency and avoid duplicative litigation. A separate lawsuit in Florida, initiated by Michael Osterer, was ordered to arbitration in July 2024.
