Billion

<p>The crypto world is reeling from yet another shocking twist.</p>   
<p>FTX has filed a lawsuit against Binance Holdings Ltd. and its former CEO, Changpeng Zhao (CZ), in an effort to recover nearly $1.8 billion in funds. The bankrupt exchange claims that its co-founder, Sam Bankman-Fried, fraudulently transferred these funds, which were later received by Binance, Zhao, and other executives as part of a deal made in July 2021.</p>   
<p>How did this go unnoticed? Let's understand. </p>   
<h2 class="wp-block-heading" id="h-details-of-the-fraud-deal">Details of the "Fraud" Deal</h2>   
<p>The lawsuit reveals that Binance and FTX entered into a share repurchase agreement, where Binance bought stakes in FTX’s international unit (20%) and its U.S. entity (18.4%). At the time, Bankman-Fried, who is currently in prison, led FTX and is said to have organized the transaction. </p>   
<p>FTX is now trying to recover these assets, accusing Binance and Zhao of benefiting from a fraudulent deal that contributed to the exchange's collapse.</p>   
<h2 class="wp-block-heading" id="h-what-this-lawsuit-means-for-binance">What This Lawsuit Means for Binance</h2>   
<p>The outcome of this lawsuit could have serious consequences for Binance, its executives, and the cryptocurrency industry as a whole.</p>   
<p>FTX has also accused Zhao of contributing to the panic that led to a surge in withdrawals from the platform.</p>   
<figure class="wp-block-embed aligncenter is-type-rich is-provider-twitter wp-block-embed-twitter">
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   https://twitter.com/cz_binance/status/1589283421704290306 
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<p>The exchange claims that misleading tweets from CZ caused fear among users, which played a role in the mass withdrawals that eventually led to FTX’s downfall. </p>   
<p><strong>Another day, another lawsuit... Stay tuned for what's next in FTX vs Binance! </strong></p>

Crypto News Today: Why Is FTX Demanding $1.8 Billion from Binance?

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