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UK Retail Investors Sue Binance and CZ for £150 Million Over Unauthorised Derivatives

If successful, the claim would test whether UK financial law can reach foreign-registered exchange entities to secure payouts for consumers.

Overview

  • The group, which filed in the London High Court on June 30, 2026, brings almost 1,700 UK retail investors together and seeks at least £150 million in damages.
  • Claimants allege Binance marketed and sold high-risk leveraged products such as leveraged tokens, futures and options to UK retail users from late 2019 without FCA authorisation.
  • The lawsuit names Cayman-registered Binance Holdings, UAE-registered Nest Exchange, Changpeng Zhao and unnamed operators and Binance says it will defend the case.
  • Lawyers invoke the Financial Services and Markets Act to argue unauthorised dealings can be unenforceable and refundable, but prior UK appellate rulings and Binance’s cross-border structure may limit recoveries and complicate enforcement.
  • The claim adds a private-compensation front to Binance’s wider legal strain after a 2023 US settlement and recent EU licensing setbacks and highlights how regulators and courts could shape retail access to complex crypto products.