Bloomberg Businessweek Sued By Binance's CZ After A Controversial Report

Be accountable for your actions.

— CZ 🔶 Binance (@cz_binance) July 25, 2022

This tweet by crypto giant Changpeng "CZ" Zhao came after confirming by a retweet that he had filed a defamation lawsuit on July 6 against Modern Media, an independent licensee and Hong Kong-based publisher that reprinted the original Bloomberg Businessweek story published on June 23, 2022, titled, “Can Crypto’s Richest Man Stand the Cold?” by Justina Lee and Max Chafkin. The lawsuit alledged that it includes false and unproven criminal charges.

CZ is the CEO of crypto exchange Binance and he will be representated in the High Court of the Hong Kong Special Administrative Region by José-Antonio Maurellet, SC, of Des Voeux Chambers, according to Watcher Guru.

The lawsuit demands that the article be removed, provide an official apology to CZ and monetary compensation.

The lawsuit also cites posts on Facebook, owned by Meta Platforms Inc (NASDAQ:META), and Twitter Inc (NYSE:TWTR) emphasizing CZ's embarrassment and distress as a consequence of the article.

Binance was portrayed in the article as a shady company strongly related to possible illegal activities and money laundering, as well as a Ponzi scheme promoter. 

"Binance told customers who used its service to buy, sell, and invest in various cryptocurrencies that this particular stablecoin offered something special: the promise of annual returns of almost 20%. TerraUSD, Binance suggested to customers, could be somehow both “safe” and “high yield," stated the report, which continued, "Most of the trades on Binance go through the flagship exchange, Binance.com, which is based in who knows where and owned by God knows whom."

Note: This article has been updated to clarify that Changpeng "CZ" Zhao has filed a defamation lawsuit against Modern Media, an independent licensee and Hong Kong-based publisher that reprinted the original Bloomberg Businessweek article.