Crypto payments firm RedotPay denies allegations of diverting 470,000 Binance Card users, as plaintiffs seek $472.8 million in damages.
RedotPay has vowed to contest a lawsuit filed by Binance-affiliated companies alleging the firm diverted over 470,000 users from Binance Card. The plaintiffs are seeking nearly $473 million in damages, citing a breach of a commercial agreement.
The lawsuit, filed in Hong Kong and Singapore, claims RedotPay founders allowed users to fund stablecoin payment cards via Binance Pay outside agreed terms. Binance estimates damages at $472.8 million, based on a $925 lifetime customer value per user. RedotPay stated the legal dispute does not affect its operations.
RedotPay reported a 33% growth in its user base amid the legal proceedings but declined to comment on specific allegations, citing ongoing litigation.