The beleaguered cryptocurrency exchange FTX has filed a lawsuit against Binance and its former CEO Changpeng Zhao, seeking $1.8 billion in damages. FTX alleges that Binance purchased shares with fraudulent intent, utilizing cryptocurrencies such as FTT, BNB, and BUSD. The lawsuit claims that Zhao's tweets contributed to FTX's rapid decline. FTX's legal actions extend beyond Binance, targeting investors like Alameda Research and figures such as Anthony Scaramucci. Political groups, including FWD.US, are also under scrutiny. Meanwhile, FTX's founder, Sam Bankman-Fried, is serving a 25-year prison sentence for fraud-related charges.
In conjunction with the Binance lawsuit, former Alameda Co-CEO Sam Trabucco has agreed to forfeit $70 million, a yacht, and luxury apartments to FTX creditors. This move follows his departure from Alameda just before the exchange's collapse. As the FTX estate seeks to recover misappropriated funds, the crypto market continues to grapple with the fallout from FTX's bankruptcy. Despite these challenges, Bitcoin has reached record highs, underscoring the ongoing volatility and intrigue within the cryptocurrency landscape.
