The former CEO of the crypto titan Binance is reportedly taking action to terminate the lawsuit filed by the bankruptcy estate of the collapsed digital asset exchange FTX.

In November, the FTX trust and FTX Digital Markets filed a suit against Binance, the exchange’s co-founder Changpeng Zhao and several other executives over a July 2021 share repurchase deal with FTX founder Sam Bankman-Fried.

Bloomberg reports that Zhao is now asking the US Bankruptcy Court for the District of Delaware to dismiss the claims seeking to claw back $1.76 billion that the trust and FTX Digital Markets say were improperly transferred by Bankman-Fried.

In a motion to dismiss filed on Monday, Zhao says the court does not have personal jurisdiction over him because of improper and ineffective service.

The motion argues that Zhao is a resident of the United Arab Emirates and, under the bankruptcy law, serving US counsel on a foreign defendant is improper and invalidates the complaint.

“The claims are so far removed from Delaware, and even the United States, that the statutes at issue, which lack extraterritorial application, do not even apply.”

The filing also says that the bankruptcy law does not definitively extend to foreign transfers, but the trust and FTX Digital Markets improperly attempt to extend their fraudulent transfer claims abroad.

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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Binance founder and former CEO Changpeng Zhao has urged national governments to explore the use of artificial intelligence tools, particularly large language models (LLMs), to simplify their legal systems.

In a July 10 post on X, Zhao argued that AI could play a key role in making legal codes more understandable and accessible to everyday citizens.

According to him, many countries have accumulated layers of complex, conflicting laws over time that legal professionals often shape through patchwork amendments.

Due to this, the current legal systems have become “gigantic, patched, added, and often intentionally made complex.”

Zhao pointed out that this has made it nearly impossible for non-lawyers to fully comprehend their rights and obligations.

However, he believes that this could change with the advent of LLMs.

Large language models are advanced AI systems like OpenAI’s ChatGPT that could be trained on extensive legal text. This would allow these tools to read, analyze, and rewrite dense legal documents into simplified formats.

As a result, these AIs could detect inconsistencies, streamline clauses, and interpret technical language, which could help make the law more accessible to everyday users.

AI won’t replace lawyers

Despite his enthusiasm, Zhao clarified that AI should not be seen as a substitute for human lawyers.

Instead, he positioned these technologies as assistants that could handle routine tasks while freeing up legal professionals to focus on more complex, high-stakes work.

According to him:

“There could be a 1000 companies building spaceships vs only a couple now. We can test more drugs to cure cancer. Flying cars… All of them need tremendous amounts of legal work.”

Meanwhile, market observers cautioned that while LLMs offer tremendous utility, they have flaws.

Current iterations still face challenges such as hallucinations or situations when the AI generates incorrect or misleading information. They argued that this reinforces the continued need for legal professionals who can interpret, verify, and contextualize the law.

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“I am not a fixer for anyone,” fired Changpeng “CZ” Zhao on May 23, slamming a Wall Street Journal report that tied him to a Trump-linked crypto venture. The Binance founder called the claims “politically motivated” as the clash over crypto influence escalates.

The WSJ said Changpeng Zhao acted as a behind-the-scenes dealmaker for Trump-linked crypto venture World Liberty Financial (WLF). However, Zhao says the story misrepresented the facts. This is his second fight with the newspaper in just a few months.

Changpeng Zhao vs. WSJ: A Clash of Narratives or Media Bias?

According to The Wall Street Journal, Changpeng Zhao introduced Pakistani entrepreneur Bilal bin Saqib to WLFI co-founder Zach Witkoff, helping arrange meetings that resulted in a government agreement.

Zhao denied this, saying, “I first met Mr. Saqib on that trip,” and argued that Saqib and the Witkoffs already knew each other. He called the story “flawed.”

The dispute revolves around conflicting claims about CZ’s influence. The WSJ suggested his role was key to WLFI’s $550 million token sales and a $2 billion Abu Dhabi deal. Zhao also disputed this, saying the report contained errors.

His team sent corrections, but the Journal did not include them, which Zhao called “biased reporting.”

The report also raised ethical concerns, noting WLFI leaders blend government and private business. Steve Witkoff serves as a Trump envoy while his son Zach runs WLFI, which has raised $550M this year.

This marks the second clash between CZ and the Journal in months after an April report citing unnamed sources claimed Zhao agreed to testify against Tron’s Justin Sun during his plea negotiations. He branded that “baseless,” noting that protected witnesses avoid prison.

Critics see a pattern as Zhao now frames both episodes as anti-crypto media bias, even as regulators sharpen oversight of ventures like WLF. Yet neutral observers have questions.

If Changpeng Zhao wasn’t involved, why did WLF’s Pakistan deal happen after these meetings? And why does the Journal stand by its sourcing? The stakes extend beyond headlines.

Trump’s Crypto Empire: Where Politics and Digital Assets Collide

The controversy echoes wider tensions in Washington. Just three days before CZ’s rebuttal, SEC Chair Paul Atkins faced heated congressional questioning about paused investigations into both Justin Sun and a Trump-linked meme coin. Critics also see a pattern of special treatment, while proponents cry political targeting.

Atkins insisted the Tron case remained active while touting new stablecoin regulations—even as WLFI prepared to launch its own Treasury-backed USD1 stablecoin.

However, the connections run deeper than regulatory filings.

For example, President Trump’s family maintains a 60% stake in WLFI, which directs 75% of token sale revenues to their coffers while allocating just 5% to platform development.

This lopsided financial structure raised a few eyebrows at WLFI’s recent Virginia golf club gala, where Justin Sun received a golden watch from POTUS after amassing major $TRUMP holdings.

The fundraiser brought in $148 million from exclusive dinners, with one investor openly admitting people bought WLFI tokens mainly because of the “crypto president” link.

Watchdog groups call this the clearest mix of political power and crypto yet, where leaders profit from digital assets and regulators advance some cases while slowing others.

From $550M Sales to $3.9B Losses: The Volatility of Trump-Linked Tokens

New data shows $TRUMP whales, including VIPs at last Friday’s Washington dinner, are now deep in the red. According to Bloomberg, 19 key wallets saw their $TRUMP holdings drop 52% in just a month.

The biggest bag plunged $48 million underwater after prices collapsed from $61 to $12 on 800,000 tokens.

The damage spreads far beyond just a few investors. 590,000 wallets lost a combined $3.9 billion, while Chainalysis reports $320 million in trading fees went to Trump-linked entities.

CNBC’s Dan Nathan calls it a “perfect Ponzi scheme,” arguing endless inflows prop up prices while lining the Trump Organization’s pockets.

Now, lawmakers are stepping in. Senators Elizabeth Warren and Adam Schiff want an ethics investigation, and new MEME legislation could block public officials from profiting off tokens.

Meanwhile, World Liberty Financial and backers of the USD1 Treasury-backed stablecoin have blasted the Senate’s inquiry into their dealings.

A letter from major U.S. law firm BakerHostetler, WLF insists USD1 holds full short-term Treasury reserves and pitches the coin as a medium to channel global demand into US debt, keeping crypto dominance on U.S. soil.

Frequently Asked Questions (FAQs)

The post Changpeng Zhao Debunks WSJ Report on His Alleged Involvement in Trump-Linked Crypto Firm appeared first on Cryptonews.

Former Binance CEO Changpeng Zhao has reportedly been appointed to advise Pakistan on Web3 and blockchain technology.

Local media in Pakistan is reporting that CZ has joined the Pakistan Crypto Council as a strategic advisor for the country of 247 million.

Says Senator Muhammad Aurangzeb, Finance Minister of Pakistan, of CZ’s involvement,

“This is a landmark moment for Pakistan.

We are sending a clear message to the world: Pakistan is open for innovation.

With CZ onboard, we are accelerating our vision to make Pakistan a regional powerhouse for Web3, digital finance, and blockchain-driven growth.”

Bilal Bin Saqib, CEO of the Pakistan Crypto Council said,

“Pakistan is opening its doors to the future of finance.

And who better to guide us on this journey than CZ — a pioneer who built the world’s largest crypto exchange and changed the way billions think about financial freedom.”

According to CZ, Pakistan offers “limitless” potential to crypto.

Last week, the Binance founder also inked a deal to advance crypto technologies in the Central Asian nation of Kyrgyzstan.

Said CZ at the time,

“I officially and unofficially advise a few governments on their crypto regulatory frameworks and blockchain solutions for gov efficiency, expanding blockchain to more than trading. I find this work extremely meaningful.”

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In the wake of a devastating 7.7-magnitude earthquake that struck Myanmar and Thailand on Friday, over 1,700 fatalities have been confirmed and thousands injured across the two nations. The epicenter, located near Mandalay in central Myanmar, caused widespread destruction, including collapsed buildings, damaged infrastructure, and flooding.

In Thailand, Bangkok experienced significant tremors, leading to the collapse of an under-construction high-rise that trapped dozens beneath the rubble. Rescue operations are ongoing as international aid pours into the region to address the humanitarian crisis. Myanmar’s military government has declared a state of emergency and called for global assistance to support relief efforts.

Binance founder Changpeng Zhao leads crypto donations

Among notable contributions to disaster relief, Binance co-founder Changpeng Zhao (CZ) pledged 1,000 BNB tokens—valued at approximately $630,000—split evenly between Myanmar and Thailand. He posted on X on Friday:

“I will donate 500 BNB each to Myanmar and Thailand.”

The post moved many more industry participants to action, including Anndy Liann, thought leader, intergovernmental blockchain advisor, and best-selling author, who stated:

“I will donate 44 $BNB to NPO to help #Myanmar. Earthquake death toll rises to 1,644 amid race to find survivors.”

He also urged his followers to also follow CZ and donate to play their part as well.

The funds are being distributed through Binance Thailand and local partners to ensure efficient allocation for rebuilding infrastructure and providing essential services.

Zhao’s donation highlights the growing role of cryptocurrency in humanitarian efforts, offering rapid and transparent financial aid during crises. This follows a broader trend of crypto donations being used effectively in past disasters, such as the Turkey-Syria earthquake and Maui wildfires.

CryptoSlate recently reported that cryptocurrencies are rapidly transforming global aid, helping charities like Save the Children to reach more people quickly on the ground in disaster zones when help is needed.

As rescue teams continue their work amid challenging conditions, international collaboration remains critical to addressing urgent needs and supporting affected communities.

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Binance co-founder Changpeng “CZ” Zhao is donating 500 BNB (BNB) each to Thailand and Myanmar following a 7.7 magnitude earthquake that caused severe damage to buildings and widespread flooding.

Zhao plans to distribute the funds through Binance and Binance Thailand if a third-party onchain donation platform cannot be found to distribute the disaster relief funds.

“I hope everyone is safe in Thailand,” the Binance founder wrote in a March 28 X post before announcing the contributions to both countries affected by the earthquake.

According to The Guardian, at least 144 people are confirmed to have died as a result of the catastrophic earthquake as first responders in both countries continue rescue efforts to free people trapped under rubble.

Related: Thailand regulator approves USDT, USDC stablecoins

Disaster strikes Myanmar and Thailand

The earthquake struck on March 28 at approximately 1:20 PM local time. The epicenter of the earthquake was approximately 10 miles from Mandalay — the second-largest city in Myanmar.

The death toll in both countries is expected to rise as relief efforts continue, with 732 individuals reportedly injured as a result of the earthquake.

Myanmar’s junta chief Min Aung Hlaing has called upon any country willing to help with the disaster relief efforts to provide any aid it can.

Crypto donations amplify aid during times of crisis

The cross-border efficiencies, low transaction costs, and near-instant settlement times of cryptocurrencies make digital assets an ideal medium for disaster relief funds.

Following a 7.8 magnitude earthquake that impacted Turkey and Syria in February 2023, philanthropist Haluk Levent began collecting crypto disaster relief donations.

The Giving Block, a company that works with nonprofit organizations to facilitate crypto donations, also used crypto to raise funds for the victims of the Maui wildfires in 2023 and managed to give over $1 million to the relief effort.

More recently, in January, The Giving Block started an emergency relief fundraiser for those impacted by the California wildfires in Los Angeles and the surrounding areas.

At the time of this writing, the organization has raised over $1 million for the California wildfire relief fund.

Magazine: Crypto is changing how humanitarian agencies deliver aid and services