FTXs – Earlybirds Invest https://earlybirdsinvest.com Latest Crypto News Thu, 07 Aug 2025 01:03:44 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.8 https://i0.wp.com/earlybirdsinvest.com/wp-content/uploads/2024/12/cropped-New-Project-2024-12-17T235703.455.png?fit=32%2C32&ssl=1 FTXs – Earlybirds Invest https://earlybirdsinvest.com 32 32 240146708 Changpeng Zhao Pushes to Dismiss FTX’s $1.8 Billion Claim Over 2021 Crypto Deal https://earlybirdsinvest.com/changpeng-zhao-pushes-to-dismiss-ftxs-1-8-billion-claim-over-2021-crypto-deal/ https://earlybirdsinvest.com/changpeng-zhao-pushes-to-dismiss-ftxs-1-8-billion-claim-over-2021-crypto-deal/#respond Thu, 07 Aug 2025 01:03:43 +0000 https://earlybirdsinvest.com/changpeng-zhao-pushes-to-dismiss-ftxs-1-8-billion-claim-over-2021-crypto-deal/

Changpeng “CZ” Zhao, the former CEO of Binance



$7.16B

, has asked a US bankruptcy court to reject a $1.8 billion lawsuit brought by the crypto exchange FTX.

The case centers on a 2021 deal where FTX used crypto to buy back its shares from Binance.

Zhao stated in an August 4 court filing in Delaware that the case tries to hold him responsible for actions taken by FTX’s founder, Sam Bankman-Fried.

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He argued that none of the events tied to the share buyback took place in the United States. He pointed out that the Binance firms involved are based in Ireland, the Cayman Islands, and the British Virgin Islands.

Because the deal happened outside the US, Zhao’s lawyers said the legal rules being used in the case do not apply. They also argued that Zhao did not control or receive the crypto involved. The agreement used two tokens, Binance USD (BUSD) and FTX Token (FTT).

According to Zhao’s legal team, he was not the one who received the funds and only acted as a “nominal counterparty” in the transaction.

FTX also claimed that Zhao’s posts on X added to its collapse. Just before FTX filed for bankruptcy, Zhao posted about Binance selling off its FTT holdings.

Zhao argued that FTX’s failure came from its own wrongdoing. His filing described the company as “a fraudulent enterprise” and argued that it would have collapsed regardless of what he said.

Recently, a US Appeals Court overturned Nathaniel Chastain’s conviction in the OpenSea NFT case. What did they say? Read the full story.

]]> https://earlybirdsinvest.com/changpeng-zhao-pushes-to-dismiss-ftxs-1-8-billion-claim-over-2021-crypto-deal/feed/ 0 51875 Binance moves to quash FTX’s $1.8 billion lawsuit, dismisses allegations as speculative https://earlybirdsinvest.com/binance-moves-to-quash-ftxs-1-8-billion-lawsuit-dismisses-allegations-as-speculative/ https://earlybirdsinvest.com/binance-moves-to-quash-ftxs-1-8-billion-lawsuit-dismisses-allegations-as-speculative/#respond Tue, 20 May 2025 16:55:22 +0000 https://earlybirdsinvest.com/binance-moves-to-quash-ftxs-1-8-billion-lawsuit-dismisses-allegations-as-speculative/

Binance has asked a US court to dismiss FTX’s $1.76 billion lawsuit, arguing that the case lacks jurisdiction and relies on unsupported allegations.

The motion follows FTX’s attempt to claw back funds and blame Binance and its former CEO, Changpeng Zhao, for contributing to its collapse.

However, Binance has rejected these claims, calling them speculative and legally flawed.

Binance counters FTX

In its filing, Binance argued that the US court lacks authority over the foreign entities named in the case.

The exchange pointed out that none of the defendants resided in the US and that the disputed agreements were governed by Hong Kong law.

Binance also emphasized that its entities were not party to the original share purchase agreements, further weakening FTX’s jurisdictional claims.

The firm stated:

“Plaintiffs do not sufficiently allege that any of the BHL Defendants had a reasonable expectation of being haled into American courts in connection with any of the alleged events.”

The exchange also aimed at FTX’s insolvency argument, asserting that the claim relies on unproven assumptions.

According to Binance, FTX was not demonstrably insolvent at the time of the disputed July 2021 transactions, and even if it were, the legal theory collapses under scrutiny.

Binance wrote:

“If FTX truly were insolvent as of July 2021, then there was no value left to be ‘destroyed’ in November 2022. But even more fundamentally, in advancing this theory, Plaintiffs are pretending that FTX did not collapse as the result of one of the most massive corporate frauds in history.”

Zhao’s tweets and the alleged bank run

The filing also addressed claims that Changpeng Zhao sparked a bank run through social media, describing those accusations as exaggerated. Binance maintained that Zhao’s posts were accurate and did not mislead the public.

Binance said:

“Plaintiffs come nowhere close to showing how the alleged Tweets of a foreign CEO and a foreign trading platform concerning another foreign trading platform can be said to have targeted the US such that the BHL Defendants should have anticipated defending litigation here.”

Binance also pointed out that its decision to liquidate its FTT holdings in 2022 was driven by market risk, not by an intent to harm FTX.

The exchange further argued:

“Binance itself was subject to significant uncertainty that the unraveling of FTX’s massive fraud was creating in the marketplace. Binance was plainly motivated to preserve its own business and make clear the measures it was taking to do so.”

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]]> https://earlybirdsinvest.com/binance-moves-to-quash-ftxs-1-8-billion-lawsuit-dismisses-allegations-as-speculative/feed/ 0 37323 FTX’s Sam Bankman-Fried Talks Prison Life, Politics, and Crypto Regulation https://earlybirdsinvest.com/ftxs-sam-bankman-fried-talks-prison-life-politics-and-crypto-regulation/ https://earlybirdsinvest.com/ftxs-sam-bankman-fried-talks-prison-life-politics-and-crypto-regulation/#respond Fri, 07 Mar 2025 11:15:17 +0000 https://earlybirdsinvest.com/ftxs-sam-bankman-fried-talks-prison-life-politics-and-crypto-regulation/

Sam Bankman-Fried, the former CEO of FTX, turned 33 while serving a 25-year sentence for misusing customer funds.

On March 5, he gave an interview from prison, sharing his thoughts on his situation and the state of crypto regulation in the US.

Speaking with political commentator Tucker Carlson, Bankman-Fried described his daily life in the Metropolitan Detention Center in Brooklyn. He said that no former FTX employees have visited him, and his meals mostly consist of rice and beans.

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He also suggested that those once close to him faced heavy legal pressure. He said, “Anyone who was close to me ended up with a gun to their head, being told that they had two options, and one of them involved decades in prison”.

During the interview, Bankman-Fried discussed his political contributions, stating that while he was known for donating to Democratic candidates, he had likely given just as much to Republicans. He also claimed he had never asked lawmakers for help when facing legal trouble, saying he did not want to do anything inappropriate.

Carlson did not directly ask whether Bankman-Fried hoped for a pardon from President Donald Trump, but the conversation touched on topics that aligned with Republican views. At one point, Bankman-Fried insisted:

I don’t think I was a criminal.

He also called the charges against his former associate Salame “totally bogus”, suggesting they may have been politically motivated.

On February 25, Bankman-Fried returned to X after nearly two years of silence. What did he post? Read the full story.

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]]> https://earlybirdsinvest.com/ftxs-sam-bankman-fried-talks-prison-life-politics-and-crypto-regulation/feed/ 0 23763 FTX’s Sam Bankman-Fried Getting Released? Last Ditch Political Effort Comes To Light https://earlybirdsinvest.com/ftxs-sam-bankman-fried-getting-released-last-ditch-political-effort-comes-to-light/ https://earlybirdsinvest.com/ftxs-sam-bankman-fried-getting-released-last-ditch-political-effort-comes-to-light/#respond Sun, 23 Feb 2025 18:06:20 +0000 https://earlybirdsinvest.com/ftxs-sam-bankman-fried-getting-released-last-ditch-political-effort-comes-to-light/

The possibility of FTX’s co-founder Sam Bankman-Fried (SBF) being released from prison has arisen again. This comes following his latch ditch political efforts to gain a presidential pardon from Donald Trump.

Sam Bankman-Fried Seeks To Gain Favor From Donald Trump

Sam Bankman-Fried is looking to get in Donald Trump’s good books and possibly get a pardon from the US president. In a recent interview with the New York Sun, SBF moved to throw the Democratic party and Biden’s administration under the bus in hopes of gaining sympathy from Trump and the Republican party. 

The crypto founder stated that he was really “frustrated and disappointed with what [he] saw of Biden’s administration of the Democratic party. It is worth mentioning that SBF was one of the biggest donors of the biggest donors of the Democratic party before he was convicted of fraud and misappropriation of customers’ funds and sentenced to 25 years on March 28, 2024. 

The FTX co-founder also tried to gain sympathy from the current administration by showing support for Elon Musk’s Department of Government Efficiency (D.O.G.E), which has been tasked with cutting government expenses. SBF said that some things need more than a 10% cut and added that it could go as far as 30,50, and 70%. 

SBF has maintained his innocence up until now. In the interview, he once again mentioned that he doesn’t think anyone was guilty in reference to him and other FTX executives who were found guilty. 

Before now, Bitcoinist had reported that Sam Bankman-Fried’s parents were appealing to Donald Trump to get a presidential pardon for their son. As such, this interview may be one of the avenues that SBF and his parents are using to get the US president’s attention. 

FTX’s SBF Also Takes Aim At Biden’s Judiciary

Sam Bankman-Fried also criticized Judge Lewis Kaplan, the judge in charge of his case, and the Department Of Justice (DOJ) under Biden’s administration. The crypto founder lamented the “politicization of the DOJ over the last decades,” although he remarked that things look to be changing under Trump. 

Interestingly, Kaplan was also the same judge who presided over the civil case against Trump in which the jury reached a verdict that he sexually abused and defamed E. Jean Carroll. SBF looked to take advantage of this common interest with Trump, stating that he knows the US president had a lot of frustrations with Judge Kaplan. He added that he did as well. 

Sam Bankman-Fried filed an appeal last year in which one of his major arguments was that Judge Kaplan was biased. He suggested that the Judge had declared him guilty from the onset and didn’t give him a fair hearing in his case.

Sam Bankman-Fried could become the second crypto criminal that US President Donald Trump pardons. The president already pardoned Silk Road Founder Ross Ulbricht, a promise that he made even before he took office.

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