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Binance CEO Changpeng Zhao Sues Bloomberg Subsidiary over Defamatory Article

Changpeng Zhao (CZ), the founder of Binance, has filed a defamation lawsuit against Bloomberg‘s Modern Media Company in Hong Kong over Chinese editorial’s 250th issue.

CZ Sues Bloomberg for Defamation 

The Hong Kong Economic Times (HKET) reported that the Binance Chief is suing Bloomberg‘s Chinese-language subsidiary Modern Media Company Ltd. for alleged defamation. 

In its 250th issue—published on July 6th—Modern Media Company ran a headline article with the cover title “Changpeng Zhao’s Ponzi Scheme.

However, the original article published in Bloomberg Businessweek read, ‘Can Crypto’s Richest Man Stand the Cold?’

According to the filing, the defense team of Changpeng “CZ” Zhao wrote that the Modern Media Company is an influential publication, and the publishing an article with such a headline serves to actively damage the public image of CZ, causing distress and embarrassment. 

Modern Media Company Reacts to the Lawsuit

Zhao allegedly demanded that the Modern Media Company withdraw the defamatory article, and cease any further portrayals of the Binance Chief in such a light. The Modern Media Company has since obliged.

Other reports suggest that the title was changed last week in the Chinese prints to read ‘The Mysterious Changpeng Zhao.’ The Bloomberg subsidiary is expected to issue a formal apology and offer financial compensation, including damages.

In a separate filing, Changpeng Zhao sued Bloomberg L.P. and Bloomberg Inc. over “defamatory allegations” within the profile piece.

On the Flipside

  • Binance has overtaken Coinbase as the crypto exchange holding the most Bitcoin (BTC).

Why You Should Care

CZ and his company Binance have been highly scrutinized by media within crypto, and the lawsuits represent part of an image protection strategy for the crypto exchange.

Read about the recent Reuters accusation below:

Reuters Accuses Binance of Facilitating the Laundering of $2.4 Billion Since 2017

The exchange was also fined by the DCB. Find out more in:

Dutch Central Bank Fines Binance $3.4 Million for “Very Serious” Violations

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed to be financial legal or tax advice. Trading Forex, cryptocurrencies, and CFDs poses a considerable risk of loss

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Author

Milko Trajcevski has been in the crypto world for years, and as such has gathered both a skill for writing as well as a native prowess when it comes to understanding everything that occurs within that world. Through skilled writing and determination, he covers articles about cryptocurrency, tokens, blockchain, crypto-asset regulations, crypto wallets, exchanges, liquidity, DApps, forks, mining, security, and blockchain technologies. He is a professional with a track record of proven expertise within the crypto space.