Binance Seeks Dismissal of FTX Lawsuit Seeking $1.76 Billion in Cryptocurrency Clawback

In a Delaware bankruptcy court, Binance has filed a motion to dismiss FTX’s lawsuit seeking a $1.76 billion clawback over the 2021 stock buyback between the two companies. This move stems from Binance’s assertion that FTX’s collapse was solely due to alleged fraud and mismanagement by its founder, Sam Bankman-Fried, and not related to Binance’s actions. Binance argues that the lawsuit is legally unfounded and cites their compliance with bankruptcy law in relation to these transactions. The legal challenge emphasizes a crucial precedent that could influence similar cases involving exchanges.