Binance Sues RedotPay for $473 Million Over Alleged User Diversion

Hong Kong-based RedotPay connects digital assets with everyday spending through stablecoin payment cards, while Binance Pay is the crypto exchange’s payments service. Their dispute tests how commercial partners may handle payment flows, safeguard funds and retain customers within the fast-growing crypto-card market. It also creates legal and reputational uncertainty for RedotPay as the company prepares for a potential initial public offering in the United States.

A Hong Kong court petition reported on Aug. 4, 2026, says Binance-linked entities accused RedotPay’s co-founders of allowing more than $304 million in Binance Pay funds to flow into card top-ups without being segregated. Binance says the arrangement diverted more than 470,000 users and values each at $925 in lifetime revenue, underpinning a damages claim of about $472.8 million. RedotPay denied poaching users and said it would defend itself vigorously.