Binance has filed a lawsuit in Hong Kong against RedotPay and its co-founders, claiming the crypto card platform breached their agreement by steering more than 470,000 users away from Binance's ecosystem. The exchange alleges this diversion cost them $472.8 million in damages.
What Actually Happened
According to Binance's complaint, RedotPay violated the terms of their partnership by redirecting a massive chunk of the exchange's user base to its own card services. The scale is striking, 470,000 users represents a substantial portion of any platform's active base. Binance contends this wasn't a gray area or interpretation dispute, it was a clear breach that caused measurable financial harm. The lawsuit targets not just the company but also its co-founders personally, suggesting Binance views this as intentional rather than a mistake.
RedotPay Pushes Back
RedotPay has rejected the allegations outright. The platform stated it will mount a full defense against the claims. The company hasn't released detailed public comments yet, but this kind of counter-stance suggests they either dispute the user diversion numbers, the contractual interpretation, or argue the damages calculation is inflated. These disputes often hinge on what the original agreement actually said about user referrals and competitive activities. Similar disputes have become more common as crypto platforms expand into adjacent services like debit cards and payment solutions.
The Hong Kong jurisdiction matters too. It signals Binance is treating this as a major commercial dispute rather than a quick settlement case. Hong Kong courts handle international business litigation regularly, and the venue choice suggests both sides expect this to be fought seriously.
This is informational content only and not financial or legal advice. Litigation outcomes are uncertain and can take years to resolve.
