Binance affiliates sue RedotPay co-founders, claim $472.8 million in losses

Binance-affiliated entities Nest Trading, DistributedTechnologies and Chaintecs Consulting Singapore have sued RedotPay and its co-founders Gao Zhangpeng, Chan Wa Choi and Yao Chao, seeking about $472.8 million after alleging RedotPay let users fund its payment cards through Binance Pay outside the terms of their commercial arrangements. The plaintiffs say more than 470,000 Binance users were diverted to RedotPay and value those customers at $925 each. The dispute, reported by Bloomberg from court filings, stems from a commercial relationship that began in November 2023. That arrangement ended less than six months later after Binance alleged its funds had been used to top up RedotPay prepaid cards. A second agreement in March 2025 required Binance funds to be kept separate and allowed Binance customers to use Binance Pay funds on RedotPay for crypto-to-fiat conversion, in-app transfers and RedotPay-branded goods, but not card top-ups. Binance said it discovered in March 2026 that RedotPay was still allowing those funds into its card business and ended the arrangement in April 2026. RedotPay denied the allegations and said the case will not affect its current or future daily operations, adding that it will vigorously defend all claims. The legal fight comes as RedotPay, founded in April 2023, pushes toward a New York IPO that Bloomberg reported could raise more than $1 billion at a valuation above $4 billion. The company says it has more than 8 million users, annual payment volume of $14 billion and annualized revenue of about $180 million, and has been discussing a new fundraising round of as much as $150 million.