Overview
- Binance‑linked companies filed the Hong Kong lawsuit seeking about $472.8–$473 million, saying they lost roughly $304 million in customer fund flows and that more than 470,000 Binance Card users moved to RedotPay.
- The complaint, cited in a court filing obtained by Bloomberg and reported Wednesday, alleges RedotPay allowed Binance Pay deposits to be used without segregation to top up RedotPay prepaid cards in violation of a March 2025 agreement.
- Plaintiffs named in the Hong Kong petition are Nest Trading Ltd., DistributedTechnologies Ltd. and Chaintecs Consulting Singapore Pte, while the defendants are RedotPay co‑founders Gao Zhangfeng (reported elsewhere as Gao Zhangpeng), Chan Wa Choi and Yao Chao.
- Chaintecs has filed a related suit in Singapore with a hearing scheduled for Friday, and RedotPay has rejected the claims, said it will vigorously defend itself, and reported continued growth to more than 8 million users and roughly $14 billion in annualized payment volume.
- The case spotlights custody and partner‑oversight questions in crypto payments and could affect RedotPay’s valuation and IPO timing; observers should watch the Hong Kong proceedings, the Singapore hearing, and any evidence about how Binance Pay flows were routed.